Tesla's stock slides after profits come up short and EV maker warns of slowing growth in 2024
ABC News
Shares of Tesla are tumbling at the opening bell as the electric vehicle, solar panel and battery maker warns investors of slower sales growth this year after posting fourth-quarter profits that were weaker than most had expected
Shares of Tesla tumbled at the opening bell Thursday as the electric vehicle, solar panel and battery maker warned investors of slower sales growth this year after posting fourth-quarter results that were weaker than most had expected.
In a letter to shareholders released Wednesday, Tesla warned that sales growth this year may be “notably lower” than the 2023 growth rate, as it works to launch a more affordable next-generation vehicle at a factory near Austin.
Tesla, the letter said, is between two big growth waves, one from global expansion of the Models 3 and Y, and a second coming from the new vehicle.
The company, which is headed by billionaire Elon Musk, reported a fourth-quarter adjusted profit of 71 cents per share on revenue of $25.17 billion. Analysts polled by FactSet predicted a profit of 73 cents per share. Revenue was expected to be $25.64 billion.
Profits were off because Tesla lowered prices worldwide through the year in an effort to boost its sales and market share.
