Tesla Shares Plunge Over 8% Intraday on Disappointing Q3 Earnings...

[Image source=Reuters Yonhap News]

[Asia Economy New York=Special Correspondent Joselgina] The stock price of the American electric vehicle company Tesla plunged by over 8% during intraday trading on the New York Stock Exchange on the 3rd (local time). This was due to the fallout from the disclosure of production and delivery results that fell far short of market expectations.

On the New York Stock Exchange that day, Tesla's stock price was trading at $242.78 per share, down 8.47% from the previous close. At one point during the session, Tesla's stock price even threatened the $241 level.

While the Nasdaq index, which is centered on technology stocks, showed a 2.5% rise on the same day, the sluggish performance of Tesla, a representative tech stock, drew even more attention. On the first trading day of October, the Dow Jones Industrial Average and the S&P 500 index were trading at levels up 2.9% respectively.

This decline in Tesla's stock price is analyzed to be due to the third-quarter production and delivery results released the previous day. Tesla announced that it delivered 343,830 units in the third quarter. Although this was an increase compared to the same period last year, it fell far short of the 364,660 units expected by the market. Economic media CNBC reported that production disruptions at new factories in Germany and Texas, as well as a sharp rise in raw material prices, appeared to have negatively impacted Tesla's performance. Tesla's stock price decline this year has approached 31%.

Wall Street's outlook was divided. Goldman Sachs maintained a 'buy' investment opinion on Tesla, evaluating that it would inevitably continue to benefit from the transition to the electric vehicle era in the long term. On the other hand, JP Morgan maintained a 'reduce' investment opinion, stating that this poor performance was an expected result. JP Morgan analyst Ryan Brinkman set Tesla's target price at $153.

This content was produced with the assistance of AI translation services.