Elon Musk announced the end of Model S and Model X production on Tesla’s Q4 earnings call, signaling a shift away from legacy models. Sales of the Model S and X have declined, now representing just over 3% of Tesla’s total sales. The company plans to repurpose its Fremont plant for humanoid robot production.

Tesla’s decision to discontinue Model S and X production contrasts with GM and Ford’s response to the EV slowdown. While GM and Ford are reshuffling production toward gas-powered vehicles, Tesla is focusing on autonomy, robotics, and AI-driven growth. Tesla’s stock currently carries a Zacks Rank #4 (Sell).

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Read more at Nasdaq: Why Musk’s Decision to End Model S/X Production Makes Sense for Tesla