It is going to bleak for all growth companiesfor now. With global economies slowing down, and pressed in further by inflation and high cost of operations, without a good cash profit flow, some if these will find it increasinlycostlier to just stay in biz. Regrettably, apartfrom Tesla, I cannot think of any EV companies which have a decent profit trend. In fact,all are currently notnin the money, yet.

"However, its performance was below par, as it came in below its previous midpoint guidance of 32K vehicles. As such, investors expecting a robust report are likely disappointed after the company also underperformed in FQ4'22." Has the market already pried this present upturn a case of herd stampede?

What is not mentioned here is it missed concensus estimates. So, is this half full or half empty situation? Reproduced:  "Tesla on Sunday missed estimates for first-quarter deliveries as a bleak economic outlook and rising competition weighed on the electric automaker’s sales. Tesla delivered 422,875 vehicles, a record for the automaker but lower than analyst expectations for 430,008 vehicles, according to Refinitiv data."

I feel the big beneficiaries of this shocking announcement will be Nvidia, AMD, SMCI, TSMC and further on ARM and other AI chip second liners Whether this AI strategy works (highly likely if plan executed well) or not, these providers will get the upfront orders. After last 2 days of indiscriminate sell-off, it is perfect time to load up on quality chip manufacturers.  But not in Intel as they have shown that they have gone the IBM route. Lost the game completely when they were once the dominant player. And certainly not Tesla as whatever Elon Musk says, they are a car company which is also going the way of IBM. Losing out to new and more efficient players.

Good article. My take is to look at Tesla only after the 3rd quarter if this year. Only then can you consider if Tesla has recovery in store.  Why I feel this way? Lowered production after first starting a price war is never a good sign. And recent price increases for some models signals a regret which may have been made tok late.  Second reason? Ark started buying more Tesla. This to me is bad sign. Hahaha.