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Tesla Has A Rough Week

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Tesla Has A Rough Week

B
Benzinga

9,256 Views • Jan 31, 2022

Description

EV stocks had another down week amid the broader market rout, triggered by macroeconomic uncertainties. Tesla’s ($TSLA@US) earnings report did little to salvage the somber market mood. Slowing margin growth, supply chain issues and the delay in new product launches beyond 2022 all served to spook investors, sending the stock sharply lower. The post-earnings plunge led to over $100 billion being wiped out of Tesla's valuation. Additionally, President Joe Biden failed to invite CEO Elon Musk to the Build Back Better CEO Round Table, tweeting instead that GM ($GM@US) and Ford ($F@US) were “building more EVs at home than ever before." Instead of car models, Tesla seems to be focusing on the humanoid robot it announced last year. Musk said on the earnings call that the robot, code-named Optimus, has the potential to be more significant than the company's vehicle business over time. The bot, Musk said, seeks to change the perception of Tesla being just a car company and make it about being the “world’s largest robotic company.”