Elon Musks Tesla teases fans with Tuesday event — what investors are bracing for | Latest Tech News
Tesla teased an Oct. 7 event, in which investors and analysts anticipate a more inexpensive model to maintain gross sales momentum, sending the shares of the Elon Musk-led electric automaker 3% larger in early trading on Monday.
In a nine-second video posted on social media platform X on Sunday, Tesla confirmed a vehicle with its headlights illuminated in a darkish setting, while hinting at an event set for Tuesday in a separate video that had “10/7” at the end.
Tesla has beforehand delayed rolling out a lower-cost model of the Model Y in the US. It said in June it had made “first builds” of the vehicle, but would start promoting it in the fourth quarter and ramp up output at a tempo that can be slower than deliberate.
Tesla has beforehand delayed rolling out a lower-cost model of the Model Y in the US. Getty Images
The stripped-down model is designed to be roughly 20% cheaper to produce than the refreshed Model Y and may scale to about 250,000 items a yr in the US by 2026.
“Tesla is teasing something big as a flurry of X posts has fans bracing for what looks like the launch of a more affordable Model Y tomorrow,” said Matt Britzman, senior equity analyst, Hargreaves Lansdown, who personally owns Tesla shares.
“The price tag will be the real tell, offering clues on how far Tesla has pushed cost savings and how much new demand it can unlock.”
The teaser follows Tesla’s file third-quarter deliveries, pushed by a surge in EV purchases forward of the expiration of the $7,500 US EV tax credit on Sept. 30. However, analysts count on gross sales to drop off in the approaching months without the motivation.
Wall Street expects Tesla’s deliveries to leap next yr to 1.85 million autos, with the cheaper model accounting for 155,610 items in 2026, according to Visible Alpha estimates.
The company has not launched a new mass-market vehicle in years, relying closely on incremental updates to the Model 3 and Model Y to drive gross sales.
Elon Musk’s Tesla reported file third-quarter deliveries. AP
Sales of its last major launch, the Cybertruck, have struggled, with Tesla offering hundreds of {dollars} in reductions for autos in stock in the past few months.
A US recall submitting in March confirmed 46,096 Cybertrucks had been constructed between its introduction in November 2023 and early this yr.
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