Tesla Shares Are Trading Lower Today: What's Going On

Zinger Key Points
  • Tesla's decision to cancel the Model S Plaid+ and the recall of 1.85 million vehicles have caused significant short-term adjustments.
  • Despite reporting an impressive EPS of 52 cents (compared to the estimated 62 cents) and revenue of $25.500 billion.

Tesla Inc.’s  TSLAHTTPSTSLA shares are trading lower Tuesday. There has been a series of announcements from the company recently. Here’s what you need to know.

What To Know: CEO Elon Musk confirmed Tesla will not produce a Plaid+ variant of the Model S, with the high-performance niche now expected to be filled by the upcoming Roadster, set to start production in 2025.

Adding to the volatility, Tesla is recalling approximately 1.85 million vehicles in the U.S. due to a risk of unlatched hoods obstructing drivers’ views. Despite issuing an over-the-air update to address the issue, the recall — one of the largest this year — has contributed to market sentiment.

What Else: The Fear & Greed Index remains in the “Neutral” zone, reflecting mixed sentiment among investors. Additionally, the market is bracing for upcoming earnings reports and Federal Reserve decisions.

Tesla also recently reported earnings per share (EPS) of 52 cents, significantly surpassing estimates of 62 cents. The company also reported revenue of $25.500 billion, exceeding the forecasted $24.726 billion.

TSLA Price Action: Tesla shares were down by 4.08% at $222.62 at market close Thurday according to Benzinga Pro.

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Image via Shutterstock.

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