• 4 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 7 minutes Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 13 minutes NordStream2
  • 1 day Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 5 hours California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 1 hour "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 6 hours "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 10 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 5 hours An Indian Opinion on What is Going on in China
  • 1 day Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
  • 11 hours Can Technology Keep Coal Plants Alive and Well?
  • 2 days Succession Planning in Human Resources for Vaccinated Individuals in the Oil & Gas Industry
  • 3 days Perfect Energy Storm in Europe: turning our back on fossil fuels is easier said than done!
  • 4 hours U.S. : Employers Can Buy Retirement Security for $2.64 an Hour
  • 9 hours Storage of gas cylinders
  • 4 days Nord Stream - US/German consultations
Australia Is Making The Most Out Of The Coal Boom

Australia Is Making The Most Out Of The Coal Boom

The recent energy shortage in…

A Successful Energy Transition Will Need Oil Demand Destruction

A Successful Energy Transition Will Need Oil Demand Destruction

While governments and international institutions…

Goldman Analyst Skeptic About Tesla Model 3 Deadline

A Goldman Sachs analyst that has been bearish on Tesla for years has written in a note to clients that the EV maker might once again fail to meet its production deadline for the Model 3, Bloomberg reports, citing the note.

David Tamberrino, who has maintained a “sell” rating on Tesla since February 2017, said that Model 3 deliveries are growing more slowly than they should, suggesting that investor expectations about the production rate of Tesla’s affordable model in the second quarter may turn out to be too optimistic.

Tesla has pledged to ramp up production of the Model 3 to 5,000 weekly by the end of this month. With several missed deadlines already, however, investors have the right to be skeptical despite assurances from Elon Musk that this time, the deadline will be kept.

Tamberrino wrote in the note that “Investor conversations on the stock have moved past the 5,000/week run-rate production target (as we believe most are giving the company credit for achieving this level entering third quarter) toward vehicle profit margins and conversion of Model 3 reservations to higher priced vehicles.”

In fact, Tesla is already selling higher-priced Model 3s and promoting new, even more expensive, higher-performance versions. Some have questioned the wisdom of doing this before meeting your own production targets, but Tesla has proven multiple times that it does not do things the usual way.

Related: Gasoline Price Set To Soar Despite OPEC+ Deal

Still, earlier this month it unveiled a new production line for the Model 3 at its Freemont factory. It is the third production line, and the fact that it was built in just three weeks suggests that this time, Musk may be serious about deadlines.

The company will be reporting second-quarter financial and production figures in early July. It has been plagued not just by delays in production, but also by several crashes that drivers have blamed on its Autopilot system, and most recently an employee sabotage.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • Markp1950 on June 27 2018 said:
    Elon Musk sent a companywide email to Tesla Inc. employees responding to a Goldman Sachs analyst’s prediction that the carmaker will miss estimates with its crucial Model 3 sedan this quarter.
    -------->“They are in for a rude awakening :)”

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News