Tesla Inc. (NASDAQ: $TSLA) is a leading American electric vehicle company founded by Elon Musk. The company has gained widespread attention for its innovative electric vehicles, including the Tesla Roadster, Model S, Model 3, Model X, and Model Y. These cars are known for their performance, range, and features. Tesla’s cars have played a significant role in popularizing electric vehicles. The company is currently the top electric car manufacturer by market capitalization.
On January 25, 2025, Tesla shares started to sink after the company announced its fourth-quarter earnings reports, which fell below expectations. The leading electric car manufacturer also warned of a deceleration in growth for 2024.
Tesla also said that Chinese-manufactured electric vehicles posed a challenge to its growth. During the conference call, CEO Elon Musk discussed the challenge of Chinese-made electric vehicles (EVs). According to him, without trade barriers, Chinese car makers will “demolish most other car companies in the world,” adding that, “They’re extremely good”.
Tesla Fourth Quarter Report
On Thursday, January 25, 2024, Tesla shares fell by 10% as investors reacted to its revenue numbers. Tesla reported a top-line revenue of $25.17 billion, below the estimates of $25.87 billion. However, the revenue is up by 3% from a year ago. The company reported an EPS of $0.71, missing the analysts’ estimate of $0.73. The adjusted net income was $2.48 billion, falling short of the $2.61 billion anticipated by Wall Street.
Discussing Tesla’s annual production, the company said, “vehicle volume growth rate may be notably lower than the growth rate achieved in 2023, as our teams work on the launch of the next-generation vehicle at Gigafactory Texas“.
Tesla’s next-gen vehicle will launch in the second half of 2025, according to CEO Elon Musk. In the latest earnings report, the company provided an update on their next-gen manufacturing platform.
“We are focused on bringing the next-generation platform to market as quickly as we can, with the plan to start production at Gigafactory Texas.” He added, “This platform will revolutionize how vehicles are manufactured.”
Tesla To Unveil Redwood by Mid-2025
Tesla has notified its suppliers about the intention to commence manufacturing a new electric vehicle for the mass market. The car referred to as “Redwood,” will commence production around the middle of 2025.
Furthermore, Elon Musk confirmed on post-earning calls on Wednesday that the company will start manufacturing it by mid-2025. The car will only cost $25,000, with a weekly production of 10,000 vehicles. Moreover, Tesla intends to produce more budget-friendly cars at its facility near Berlin. It has also shown interest in establishing a factory in India to manufacture smaller, more economical electric vehicles.
Stock Update: $TSLA
On Thursday, January 25, $TSLA was trading at $182.95, down by 11.97% from the previous close of $207.83 per share. The market cap is $581.583 billion, with a volume of 183,413,029.
Should you buy Tesla Stocks?
TSLA stock has experienced a slump after its Q4 numbers. However, that could soon change. They will start producing their new EV project in mid-2025, which could push the stocks higher. As a result, holding or buying Tesla stocks as a long-term investment could still prove to be lucrative.
Click Here for Updates on Tesla – It’s FREE to Sign Up for Text Message Notifications!
Disclaimer: This website provides information about cryptocurrency and stock market investments. This website does not provide investment advice and should not be used as a replacement for investment advice from a qualified professional. This website is for educational and informational purposes only. The owner of this website is not a registered investment advisor and does not offer investment advice. You, the reader / viewer, bear responsibility for your own investment decisions and should seek the advice of a qualified securities professional before making any investment.