Tesla delivery shows progress, but misses Wall St. target; shares slip 6%



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Tesla delivery shows progress, but misses Wall St. target; shares slip 6%

On Wednesday, the 2nd of October 2019, the Palo-alto, CA-based e-vehicle manufacturer, Tesla Inc. had reported a shortfall in its vehicle delivery during the third quarter, ratcheting up investors’ concerns over the company’s ability to turn into profitability.

Besides, following release of the report, Tesla Inc. shed more than 6 per cent in extended trading late on Wednesday (October 2nd) after wrapping up the day 1.56 per cent lower to $243.13 per share. Meanwhile, according to Wednesday’s (October 2nd) report from the e-vehicle manufacturer, deliveries of all Tesla models rose 1.9 per cent during third quarter of the year that ended on September 30th, while billionaire Elon Musk’s Tesla Inc.

had delivered 97,000 vehicles in the third quarter including 17,400 Model S/X SUVs alongside 79,600. Nonetheless, despite a decent quarterly rise on deliveries, Tesla Inc. deliveries had missed a Wall St. estimate of 97,477 vehicles, which eventually dragged down the Tesla Inc.

shares more than 6 per cent in extended trading on Wednesday (October 2nd) as beforementioned. Aside from that, latest Tesla Inc. delivery report came forth a few days after Tesla head Elon Mush had been quoted saying to the reporters that Tesla Inc.

was aiming for a profit during the fourth quarter, while he had also signalled a break-even third quarter. Meanwhile, industry analysts expressed steep concerns over Tesla Inc.’s ability to turn into a profitability, as Tesla Chief Executive, Elon Musk had been vying to contain operating costs by initiating a new production line in his Shanghai factory amid Trump’s tariff war with China alongside a declining auto sale all over the world.