From Nasdaq: 2025-02-24 11:09:00

Tesla is recalling 376,241 vehicles in the U.S. due to power steering assist failure, increasing accident risks. Reports from Tesla owners prompted a year-long NHTSA investigation. Over 50 vehicles required towing due to the issue. The recall affects Model 3 and Model Y vehicles with older software versions.

The steering systems’ printed circuit boards in affected vehicles could fail, requiring greater steering force and heightening crash risk. Tesla identified 3,012 warranty claims related to the issue, but no accidents, injuries, or fatalities. An over-the-air software update will address the problem. Similar recalls were conducted in China.

In 2024, Tesla delivered 1,789,226 vehicles, with total revenues of $97.7 billion. The company anticipates growth in 2025 driven by advancements in vehicle autonomy and new products. Tesla carries a Zacks Rank #3 (Hold) currently. Other top auto stocks include Geely Automobile Holdings Ltd., Dana Incorporated, and Strattec Security Corporation, each with a Zacks Rank #1 (Strong Buy).

Zacks Top 10 Stocks for 2025, handpicked by Zacks Director of Research, Sheraz Mian, have historically outperformed the S&P 500. These top 10 stocks show significant potential for the future. Interested investors can access the new stock picks and get the latest recommendations from Zacks Investment Research.



Read more at Nasdaq: Tesla Recalls More Than 375K Vehicles Due to Defect in Power Steering