Tesla's Cybertruck Sales At Just 47K Is 'Really Bad' For 250K Target, Says Ross Gerber Amid Recall Troubles

Ross Gerber, CEO of Gerber Kawasaki Wealth and Investment Management, highlighted Tesla Inc.‘s TSLA struggling Cybertruck sales in a recent social media post, noting figures significantly below company projections.

What Happened: “Tesla has sold only 47k Cybertrucks total according to the recall notice. This is really bad for a product that was supposed to sell 250k units a year,” Gerber wrote Thursday on X.

His comments followed Tesla’s announcement of a recall affecting 46,096 Cybertruck vehicles due to safety concerns with the stainless-steel exterior trim panel that could detach while driving. Tesla service centers will replace the rail assembly at no cost to owners.

This recall adds to mounting challenges for the electric vehicle manufacturer, which has faced multiple Cybertruck callbacks since its launch. Earlier this month, Tesla halted deliveries after reports of metal panels detaching in cold weather. According to BizzyCar, Tesla accounted for 21% of all U.S. vehicle recalls in the first three quarters of 2024.

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Why It Matters: The production setbacks come amid broader concerns about Tesla’s direction. Wedbush Securities analyst Dan Ives recently urged CEO Elon Musk to formally reaffirm his commitment to Tesla and outline clear plans for upcoming vehicle launches to restore investor confidence.

Tesla’s brand image has also suffered following Musk’s increased political activities, including his role in the Department of Government Efficiency in President Donald Trump‘s administration. Protests have occurred at Tesla showrooms nationwide, with Gerber himself sharing footage of demonstrations outside a Santa Monica location.

Tesla shares have declined nearly 50% since mid-December, with JPMorgan Chase analysts warning Wednesday that Tesla has “lost too much brand value too quickly” and could face its lowest quarterly deliveries since 2022.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.