From Barchart: 2025-01-03 10:44:00

Tesla’s Cybertruck production fell short in 2024, with only 35,000 to 40,000 units delivered, leading to a 6% drop in shares. Analysts question the vehicle’s viability and profitability, as it has yet to become gross margin positive.

The Cybertruck’s limited demand and high production costs raise concerns about its future. Bernstein sees it as a strategic error diverting focus from more affordable models needed for competitiveness.

Tesla’s auto gross margins are predicted to dip below 15%, falling behind major competitors. Earnings are expected to decline from $2.60 per share in 2023 to around $2.10 in 2024, despite additional regulatory credits.

In the autonomy space, Tesla’s robotaxi ambitions face skepticism. Analysts doubt Tesla can outpace rivals like Waymo due to sensor technology, regulatory challenges, and accident simulation training, raising uncertainty about maintaining dominance even with Level 5 autonomy.



Read more at Barchart:: Tesla Faces Cybertruck Challenges and Profitabilit…