Elon Musk says ‘rude awakening’ awaits bearish Goldman Sachs analyst

By: |
Published: June 28, 2018 2:05:08 PM

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.

Elon Musk, Tesla company, Tesla cars, Goldman Sachs, Model 3 sedan, Fremont, CaliforniaElon 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. (Reuters)
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 :)” the chief executive officer wrote in the email Tuesday. He shared a link to a CNBC story that reported Goldman expected the company to deliver 22,000 Model 3s in the three months ending in June, short of what analyst David Tamberrino said was a consensus of 28,000.
Bloomberg News obtained a copy of Musk’s email and confirmed an employee at Tesla received it. Representatives for the company declined to comment. Goldman spokeswoman Leslie Shribman also declined to comment.
With less than a week to go in the quarter, Tesla is under enormous pressure to prove to investors that it can achieve and sustain higher levels of production. Musk, 46, told investors during Tesla’s June 5 annual shareholder meeting that the company was “quite likely” to achieve its target to build 5,000 of the sedans a week by the end of this month.
Bloomberg’s Model 3 Tracker is currently estimating quarterly production of just over 27,000 units, though that’s subject to change as more data on Tesla’s end-of-quarter push comes in.
Tesla rose 1.7 per cent to $347.84 at 12:16 p.m. in New York. The shares have gained 12 per cent this year.
Tesla’s sole auto assembly plant in Fremont, California, is running around the clock to meet the goal. The carmaker this month erected a massive tent the size of two football fields to house an additional assembly line for the Model 3.
The company will release second quarter production and delivery figures in early July.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition