Tesla shares plummet after earnings miss expectations and growth warning

Tesla's latest quarterly earnings report triggered a sharp decline in shares following financial results that fell short of expectations and a warning regarding growth. The company's revenue in the fourth quarter of 2023 rose by 3 percent compared to the same period the previous year, reaching 25.2 billion dollars. Tesla had generated 24.3 billion dollars in revenue in the fourth quarter of 2022.

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Tesla shares plummet after earnings miss expectations and growth warning

Tesla shares fell 12% in a single day as the company's latest quarterly earnings figures missed expectations. While the company announced that it failed to meet financial expectations, it warned that vehicle volume growth in 2024 could be lower than last year. Additionally, Tesla's revenue and net profit also remained below market expectations.

DEPRECIATION CONTINUES

Following Tesla's earnings report, company shares lost more than 12% of their value and have declined by more than 26% since the beginning of the year.

At the same time, Elon Musk stated that Chinese automakers have the potential to crush other car companies globally if trade barriers are not in place. Musk made this statement based on his observations that Chinese car companies are competitive worldwide.

Furthermore, it was warned that teams are working on a next-generation vehicle at the production facility in Texas called the “Gigafactory”, and for this reason, vehicle volume growth this year may be lower compared to last year.

Following the announcement of the earnings report, Tesla shares lost more than 12 percent of their value yesterday. Tesla shares have lost more than 26 percent of their value this year.

In his statement following Tesla's earnings report for the last quarter of last year, Musk said, “Our observation is generally that Chinese car companies are the most competitive car companies in the world.”

News Source: 12punto