Tesla’s Fourth-Quarter Numbers Shake Electric Vehicle Stocks

1 Mins read

Tesla’s fourth-quarter earnings report, released after Wednesday’s closing bell, has had a significant impact on the electric vehicle (EV) market. The pioneer in EVs reported per-share earnings of 71 cents, slightly lower than the 73 cents anticipated by Wall Street.

Furthermore, Tesla’s guidance for vehicle volume growth this year has created uncertainty. With a projected growth rate that may be notably lower than last year’s, investors have grown uneasy, resulting in a decline in Tesla shares.

This negative news from Tesla has not only affected Chinese EV manufacturers but also EV startups in the United States. In Hong Kong trading, NIO, a prominent Chinese EV maker, saw a 4.7% drop in its stock, bringing the total decline for the year to 36%. Similarly, XPeng and Li Auto experienced drops of 3.4% and 0.5% respectively, with their shares down 37% and 24% since the beginning of January.

Even BYD, which outperformed Tesla in fourth-quarter sales of battery electric vehicles, was not immune to the impact. Its stock dropped by 0.5%, contributing to a 7% decline for the year.

In premarket trading in the US, several EV startups also experienced negative effects. Rivian Automotive, Lucid, and Fisker saw their shares fall by 2.4%, 3.6%, and 3.2% respectively, while Polestar Automotive experienced a stock decline of 3.7%.

This downward trend in the EV market has affected not only Chinese EV makers and startups but also traditional automakers. Ford Motor and General Motors also experienced a backlash from Tesla’s news, with Ford shares down 1.3% and GM shares down 1.1%. Overall, Ford shares have declined by approximately 10% this year, while GM shares have seen a 3% decline.

The impact of Tesla’s fourth-quarter numbers resonates throughout the EV market, causing concern and uncertainty among investors. As the industry navigates through this challenging period, it will be interesting to see how the different players respond and adapt.

Related posts

Government Matching Contribution for Retirement Savings

2 Mins read
According to researchers, nearly 22 million Americans are set to benefit from a new government matching contribution initiative aimed at enhancing retirement…

Oil Market Update

1 Mins read
Oil Market Update On Tuesday, crude oil futures prices were lower, while refined product contracts were experiencing a second consecutive day of…

Carrier Global Sells Industrial Fire Business

1 Mins read
Carrier Global Sells Industrial Fire Business for $1.425 Billion Carrier Global has announced the sale of its industrial fire business to private-equity…

Leave a Reply

Your email address will not be published. Required fields are marked *