Tesla stock price dropped by more than 11% on Thursday in the wake of Tesla’s latest earnings call to investors, in which record earnings and profit were overshadowed by the impact of continuing supply chain issues on electric vehicle and product rollouts.
The share price of Tesla, trading with the ticker TSLA, had slid by 167 points on the NASDAQ over the last five days as of Friday morning (January 28), with Tesla stock trading down by 16.79% on the start of the week.
While the market has yet to open in the US on Friday, Tesla’s stock may continue to dip after chief executive Elon Musk revealed in Wednesday’s earnings call that Tesla will not produce any new vehicles in 2022 – instead looking to the potential for its upcoming Optimus humanoid robot revealed at the company’s AI day last year.
But what did Elon Musk say on Tesla’s latest earnings call – and what’s the cause of Tesla’s stock drop this week?
Here’s what you need to know about the Tesla share price drop, the latest stock price for TSLA and what happened.
How much is Tesla stock worth today?
While markets have not yet opened in the US on Friday morning, Tesla stock closed on the NASDAQ at 829.10 a share in an 11.55% fall on the previous 24 hours.
Tesla’s share price shed roughly 108 points over the course of Thursday, after the impact of the company’s dulled earnings call for investors led to a fall from 933.76 as of 9.30am to 829.10 by 4pm.
Its latest share price has seen a further fall from its skyrocket to more than $1,208.59 a share on November 1 2021.
With the post-earnings dip, Tesla stock is trading down by almost 24% on the last month and more than 30% on its year-to-date value.
What did Elon Musk say in Tesla’s earning call?
Tesla’s earnings call saw the company report profits and revenues which performed beyond Wall Street’s expectations, with a year on year revenue growth of 65% in the fourth quarter of 2021 and a record profit of $5.5billion last year.
Wednesday’s Tesla earnings call saw the company’s irreverent CEO Elon Musk stress the company’s focus on research and development of its Full Self-Driving software, with Musk saying that he believes Tesla’s self driving software will be responsible for the bulk of Tesla vehicle sales once perfected.
But Musk disappointed investors when he revealed that the company would not be focusing on producing a much-anticipated $25,000 electric vehicle or any new cars this year.
“If we were to introduce new vehicles, our total vehicle output will decrease,” Musk said.
“We will not be introducing new vehicle models this year.”
In response to one investor who asked about progress on plans for a more affordable Tesla vehicle, Musk elaborated: "Well, we're not currently working on a $25,000 car.
“At some point, we will, but we have enough on our plate right now, too much on our plate, frankly.
"So, at some point, there will be.
Musk added: "I think that's sort of a question that -- it's sort of the wrong question.
“Really, it's really the thing that overwhelmingly matters is when is the car autonomous?
"I think, at the point in which it is autonomous, the cost of transport drops by, I don't know, a factor of 4 or 5.”
Musk also used the investor earnings call to stress the significance of Optimus, the company’s planned humanoid robot, in this year’s product plans.
“The most important product development we’re doing this year is actually the Optimus humanoid robot,” Musk said.
“This, I think, has the potential to be more significant than the vehicle business over time.”