TESLA EARNINGS FALL SHORT OF LOW EXPECTATIONS... SHARP DROP...
Profit down 48%, revenue 9%... Afordability push to ease fever pitch?
TESLA CARS ARE THE MOST DEFECTIVE CARS IN THE WORLD!
Brand new Cybertruck owner left fuming when his $82,000 EV breaks down with critical fault just SECONDS after pulling out of the lot: ‘Elon, what are you doing bro?’
- Several new Cybertruck owners have reported steering wheel issues
- The screen flashed red and beeped, urging them to pull over
- READ MORE: Customers discover ‘fatal’ design flaw in $80,000 Cybertruck
Elon Musk has touted the Cybertruck as ‘apocalypse-proof,’ but a customer found his newly purchased vehicle could not even make it a mile away from the dealership.
Entrepreneur Thomas Remo shared a video of him picking up the $82,000 EV in Irvine, California, later finding it ‘broke not even six inches off the lot’ and failed another ’30 times’ after on the first day.
Moments after Remo excitedly steps on the gas peddle, the center screen started flashing red and beeping to alert him about a critical steering issue.
The vehicle automatically slowed down to about four miles per hour, forcing him to pull over and return to the dealer.
Remo questioned if the Cybertruck was ‘Tesla‘s biggest lemon yet,’ but his disappoint follows outrage from customers who spent $3,000 on the attachable tent and found it looked nothing like Musk had advertised.
Entrepreneur Thomas Remo shared a video of him picking up an $82,000 Cyberbeast in Irvine, California
Remo was driving down a busy street when the dashboard screen began flashing a bright red and beeping to alert him about a critical steering issue
Musk began delivering Cybertrucks last November, but it seems those living in on the West Coast have the pick of the litter – most of the sightings of the vehicles stem from that part of the US.
Remo, who runs GearDown on YouTube, took viewers on the journey with him to pick up his new Tesla Cyberbeast.
He hit the accelerator leaving the dealership parking lot, revving the Dual Motor that generates 600 horsepower and all seemed well until a few seconds later the center dashboard turned into a blaring alarm.
Remo jokingly said ‘I literally broke it right out the gate. Elon, what are you doing bro? How is it already broken?’
The flashing lights indicated there was an issuer with the vehicle’s steer-by-wire system, which forced the Cybertruck into a limp mode and stopped it from exceeding four miles per hour.
Another California owner also had to have their Cybertruck towed after the center screen started flashing red and showing a steering error alert – and it happened on the same day he took the delivery
READ MORE: New Cybertruck owners are re-selling EVs for more than $200,000
New Cybertruck owners are bound to a contract that prohibits them from re-selling the EV before one year or face a $50,000 fine.
Steer-by-wire is an advanced system that aims to replace traditional steering.
The new technology eliminates the physical connection between the steering wheel and the wheels of a car by using electrically controlled motors to change the direction of the wheels and to provide feedback to the driver.
The downsides of a steer-by-wire system are maintenance and cost – and if the connection is not perfect, drivers will experience what happened to Remo.
While Remo was able to pull off to the side of the road and head back to the dealer, Arizona-based Matthew Chirello was not as lucky when he was hit by the issue this month.
Chirello shared his experience on X but has since deleted the posts.
The post included a picture of his Cybertruck being towed and Chirello wrote: ‘Love Tesla and my Cybertruck but ‘catastrophe failure’ with steering and brakes while on a road trip with wife and toddler.’
The steering wheel issue seems to plague newly delivered Cybertrucks in the last month, another California customer shared on Saturday that he drove his vehicle one mile before it had to be towed.
The person shared a post on Cybertruck Owners Club forum with an image of his newly purchased Tesla EV being hosted onto a towing truck
A similar post on the forum was shared on March 5, showing the red blood colored screen with a large notification on the front that reads: ‘Pull over safely. Critical steering issue detected’
However, the customer claimed that the dealer could not fix the issue, saying ‘Tesla really rushed these trucks out, what a nightmare.’
A similar post on the forum was shared on March 5, showing the red blood colored screen with a large notification on the front that reads: ‘Pull over safely. Critical steering issue detected.’
This driver’s profile page shows they also live in California.
‘My Cybertruck went directly from delivery to service (very sad) and Tesla has been diagnosing the issue for 5 days. They still don’t know what’s wrong with it,’ the person shared.
Advertisements of the Basecamp tent boasted that it would evenly attach to the back of the Cybertruck and a video shows two parents and a child fitting comfortably in the tent and screened windows to provide ‘a view of the stars.
Tesla began shipping the first batches of tents to customers, which was touted as a luxury camper – but some linked it to an ‘unpolished homeless encampment
The issue reports about new Cybertrucks seem to be stacking up – from an easily dirtied exterior to misaligned panels and the new Basecamp tent.
Tesla began shipping the first batches of tents to customers, which was touted as a luxury camper – but some linked it to an ‘unpolished homeless encampment.’
The shipped accessory appeared to be missing the allure of the company’s promotional pictures, including an ‘ultra-soft mattress’ and ‘enhanced camping experience.’
Advertisements of the Basecamp tent boasted that it would evenly attach to the back of the Cybertruck and a video shows two parents and a child fitting comfortably in the tent and screened windows to provide ‘a view of the stars.’
But, new owners have shared videos and pictures of what appeared to be a tarp extension on the back of their new EV truck, with some saying it wasn’t any different from a traditional tent and could fit a maximum of two people.
Tesla shares DROP 7% after posting first sales decline since the pandemic: Analysts say drop is ‘unmitigated disaster’ for Elon Musk’s EV maker
Tesla sales plunged 7 percent this morning after the electric vehicle maker reported its largest-ever decline in deliveries.
Elon Musk’s embrace of right-wing politics caused ‘reputational downfall’ and HALVING of interest in Tesla vehicles since 2021, report claims
‘It’s very likely that Musk himself is contributing to the reputational downfall,’ said Caliber CEO Shahar Silbershatz, saying his company’s survey shows 83 percent of Americans connect Musk with Tesla.
Tesla’s ‘nightmare’ year continues as a big drop in deliveries sends the stock down
Elon Musk’s EV maker came in well below estimates for deliveries even after analysts had revised them down
Tesla on Tuesday said it delivered 386,810 electric vehicles over the first three months of 2024, falling wildly short of Wall Street’s expectations.
Last week, after a first quarter that one analyst called a “nightmare,” many analysts lowered their estimates. But the sales figures Tesla reported Tuesday fell far below even the revised estimates.
Wall Street had estimated deliveries of 457,000 EVs for the first quarter, according to a consensus tracked by FactSet. Deutsche Bank’s Emmanuel Rosner — who rates Tesla stock as a “buy” — trimmed his delivery forecast last week from 427,000 units to 414,000 units and cut full-year expectations from 2.06 million units to 1.9 million units. Morgan Stanley’s Adam Jonas lowered his delivery estimate from 469,000 units to 425,000 units. Jonas last month raised the possibility that Tesla could lose money this year.
Tesla stock dropped almost 6% in Tuesday morning trading after the company announced its poor first-quarter deliveries. Shares have fallen more than 33% so far this year, making Tesla the worst performer in the S&P 500. The company is also no longer one of the top 10 U.S. companies by market capitalization, trailing behind Visa, JPMorgan Chase, and weight-loss drug maker Novo Nordisk.
Austin, Texas-based Tesla said it sold 369,784 Model 3 compact cars and Model Y SUVs between January and March, and 17,027 other EVs. Although the automaker does not provide a breakout for those deliveries, they include the Model X crossover SUV, Model S sedan, and the Cybertruck, an electric pickup released by Tesla last November.
Tesla’s sales for the quarter fell more than 8% compared to a year earlier.
CEO Elon Musk’s electric vehicle company produced fewer vehicles in the quarter than it did during the first three months of 2023, largely due to factory revamps and disruptions abroad. Tesla assembled 433,371 EVs last quarter, down from 440,808 in 2023.
In China, where Tesla is facing off against strong local rivals like BYD and newcomers like Xiaomi, Tesla has started telling workers to lower Model Y and Model 3 production. Production has also been slowed because of an update to the Model 3 production line at Tesla’s flagship factory in Fremont, California. And an arson attack near Tesla’s Giga Berlin-Brandenburg in Germany shut down the facility for almost a week, costing the company about $1 billion. That shutdown came just weeks after the German facility reopened after a brief closure due to ongoing Houthi militia attacks on suppliers using the Red Sea to transport goods.
The poor performance comes in spite of a series of measures Musk has announced to drum up sales.
Tesla has committed to updating its driver assistance technology, Full Self-Driving, every two weeks in an effort to boost its popularity. The $12,000 software, which Musk has said would be a moneymaker, hasn’t been widely adopted by consumers. Tesla has also given all U.S. Tesla owners capable of installing the system a free one-month.
There are many reasons Tesla might be struggling to sell its cars — slowed interest from consumers, EV charging anxiety, and more. Deutsche Bank analysts said in a note to investors Tuesday that the difference between the number of EVs built and the number of cars sold “confirms that beyond the known production bottleneck, there may also be a serious demand issue.”
However, some investors are arguing that Musk and the company’s board of directors are to blame.
“It’s time for shareholders to assess the blame where due. The [T]esla BOD should be replaced immediately with independent directors as required by law,” Tesla investor Ross Gerber wrote Tuesday on X, Musk’s social media platform.
“Basically Tesla can’t sell its cars due to Elon’s behavior,” he added in a follow-up post. “Only one person [is] responsible for this.”
Wedbush analyst Dan Ives, a longtime Tesla bull, last week called the first quarter a “nightmare” for Tesla, writing in a note to investors that the “Tesla narrative is as negative as we have seen in the last few years with Musk/Tesla getting attacked by the bears from all directions.”
