Now Elon Musk says Tesla’s new plants in Germany and Texas are losing billions of dollars as the electric vehicle maker tries to ramp up production.
They have since been trading downward, partly in response to the release of a video interview where Elon Musk said Tesla’s new Giga plants are giant money furnaces, that demand at Tesla exceeds supply, which is why New giga plants were opened in Austin Texas and Berlin but this is taking longer.
Time for them to go completely online. Both plants are focused on Model Y production, with the plan eventually being that Austin Texas will also make the much-anticipated Cybertruck, which Tesla said is still recovering from March when in China. Its Shanghai plant was closed for three weeks due to the rolling lockdown.
That’s why some analysts have lowered their price targets in recent days, admitting to Bloomberg that Tesla will cut its workforce wit 10 wit.
Over the next three months, that buoyed the stock price above 700 on Tuesday, but overall analysts don’t want to see Tesla’s goal of 50% average annual vehicle delivery growth disrupted because it would indicate the electric vehicle maker isn’t delivering on that.