Tesla shares fall as lower-cost Model Y and Model 3 disappoint

Sounds to me like the makings of a new all time high stock price in the coming days!

It really cracks me up. Huge hype for the long awaited "25k model" guy comes out with even more basic Y that just costs what Y did with the credit. They're gonna get eaten alive lmao.

Demands for these models will be high!

I was expecting a meh de-contenting of the 3 & Y but Elon really pulled out the stops on this. Steel hood! Manual side mirrors. My 2023 AWD Model Y was an immense step up from my 2018 LEAF S. This, not so much... Thanks to a $6000 clearance discount and $10,500 gov't money (only $2000 of which available now), I got that Model Y for ~$34k before TT&L lol.

We’re long past the point where Tesla deserves widespread public ridicule, aren’t we? Seriously, how many more times can they repackage the same cars and act like it’s some kind of innovation? I haven’t even checked the tesbro reactions on X but I’m sure it’s all ecstatic “This is amazing, I need one today, can’t wait to preorder!!!” cringe.

The demand for empty parking lots to store them in will be high you mean

People aren't excited about a shittier version of an already shitty car? You don't say?

Elon has enough money to incentivize new buyers. I have no doubt.

Yeah but Elmo installed a government that made sure any new buyers won’t have enough money for a 40k piece of shit so

How many are bots?

"Concerning if true", Elon, probably.

Yeah, if bad news doesn't result in the stock price going up, I won't know what to think.

They removed the rear taillights and replaced with cheap light bar. Looks like a dumpster with battery.

Wouldn’t buy a car from a fascist-saluting moron. I shake my head every time I see someone driving a tesla sold after musk did that salute at the republican convention. Makes me sick

Not as many as you'd think! Quite a few are actually TelsaBros trying to pump the stock and others are doing it to promote their "Tesla Influencer" YouTube channel!

THAT’S IT?!???

😂

You'd hope so, but the Tesbros and influencers will hail it as a revolution in automobiles and the stock will surge. Logic and Tesla seem to be strangers to one and other

When Tesla investors are disappointed it’s time to buy stock. Elon will tweet that one function of Optimus robot will be for sex and the stonk will orbit as the incel MAGA crowd increases to their positions. Buy now!

The stock pumps on hype and vibes. Elon delivered a huge disappointment today. Everyone sees these are just worse cars for basically what you would have paid a week ago. They aren't even really competing with the Koreans on price and they have nicer offerings

What I don't understand is how this competes with the used market. You can buy a used 2023-2024 model Y where I am for like $25k with 30k miles on it. Hard to imagine anyone spending \~$40k on this. I just bought a used optioned out 2023 Mercedes EQE SUV that laughably outclasses this Model Y in every way for $34k with less than 50k miles on it. And it was CPO so I get additional warranty time and low interest rates too.

Why does a company with a trillion dollar valuation have trouble finding the money to design a new car

Ah this might explain why Carvana sent me an alert yesterday that my Model 3’s value went up. Worked out for me I was able to trade it in right away.

Elon is applying his genius Marketing skillz and giving buyers permission to pick the "premium" middle option

The article refusing to mention the ~~nazi~~elephant in the room.

Hey, don't knock manual side mirrors. They worked great on my 1979 VW Dasher. Maybe it has a manual door handle to keep its occupants from being burned alive

Oh they have the money, the engineers are still trying to figure out the affordable Model 1 *without a steering wheel* as Elmo decreed.

Jesus, can you imagine how bad a sexbot designed by Elon Musk would be? That would be like buying a television designed by Stevie Wonder.

No one thought that this was going to be the 25K Model but most people thought the Model Y Standard was going to be like $35K not $40K

People what higher quality cars not lower. Maybe Tesla should focus on improving the quality of their cars first. Alternatively just lower the prices to match their quality. A new MYLR is worth $35k tops.

With a dumpster you can escape when it's on fire..

Maybe Elon could use his money to design a car that isn't 15 years old

I'm sure you thought that about the Cybertruck.

Oh for sure, but they still need some people to pick it or else it will cost literally more to build than the 'premium' option due to lack of scale. They tried the same shit with the Cybertruck and ended up discontinuing the cheapest decontented one with cloth seats because literally nobody wanted it. Problem is, if Tesla has the option, people will order it. So there's decontented Chevy products that nobody buys and they make basically none of them every year. There are multiple steps of people dissuading people (dealerships, salespeople, etc...) so you have to be really determined and custom order a decontented one, and then they don't make it easy (huge wait time, etc...). Tesla does none of that, so they actually have to build them at tiny volumes.

Shit must be getting really bad when Tesla shares fail to up on bad news

They need to make the model Y Large, the YYYY a bit taller, to compete directly with a Rav4, CRV and forester which are all just that little bit taller.

Creaking aging model, deoptioned to make it even shittier. 10% surge in value!

Name a better car

They’re burning through capital pretty fast. ROIC, Fcf etc. are in a tailspin. If they do have this 30 billion cash on hand, how come they didn’t do a stock buyback and instead, Leon personally made the purchase.

Should have just re-released the last generation Y as the base model with a free "I bought it before Elon went crazy" sticker included. To me, anyone driving the new Y is signing on to Elon's politics.

We've really normalized a lot of disturbingly abnormal things these days... "Oh yeah, my car was made by nazis, but look how cool it is, I can watch tiktok while the car drives itself into a wall and traps me inside with its power door handles."

What, it is an AI and robotics company!!!!! lol

Comes with a free NeuraLink lobotomy to hardwire yourself to the car so that you can drive using your thoughts. Then YOU become Robotaxi to serve Emperor Musk for life!

“It has to go down so it can go up again!”

All of them. But some run on food instead of electricity.

The ‘97 Geo Metro comes to mind…

News flash - making a cheaply made car even cheaper decreases quality even further

They kept the glass roof and just covered it up with a headliner???

lol Elmo is a genius!!!

Because when your original model lineup was designed around cutting every corner possible, the only way to make it better is to increase cost. It may be counter-intuitive, but for Tesla, starting at the bottom meant the only way to go was down.

Your mother, she's heavier but rides better.

Hopefully the beginning of a catastrophic crash

If he would pay me $500,000 I might buy a deathtrap, and then scrap it... But his sales would go up by one!

Or that doesn't kill occumenents in a crash?

Guarantee you it will go up tomorrow and by Friday, today's loss becomes irrelevant.

This is a defensive move, not a market-expanding move. Having a "standard" model in the lineup, the marketing team can position the current model Y to the consumer as a step up for not much more money. People fall for that sort of thing all the time. All the car makers have "trim levels", while not selling a lot of the lowest one - it's mainly there for positioning. That said, total revenue is going to fall and margins will also come down some. They don't save all that much on COGs or labor by changing the headlights and leaving out a screen. The standard is about trying to slow the revenue decline, not juice it up.

literally any modern car.

No radio either 🤣🤣🤣

Got to go down so the manipulators can buy cheep. Wouldn't be surprised is some of the same folks just happened to short the stock just in time for the drop

Meantime, the promised FSD 14 - the NEW Revolution, gives you choice of types of Parking Spaces you might be looking for......a true revolution in autonomy!

10-1 split incoming

and now understands gates. Sentient!

TSLA lost 2X its cash today. Buybacks are pissing in the wind.

that's what I paid for my 2023 AWD MY, LOL . . . $6000 off list + $10k gov't cash. Even got the hitch option so it's a great value.

I've got $6000 in 2Q puts hoping so : )

They needed to unveil an entirely new entry level model, not super stripped out variants of existing models, these honestly look terrible…

The stock price doesn’t resonate with reality but the hyundai just announced price cuts and their entry I5 is cheaper than the low cost model 3. Tesla brand is hurting and now alternative vehicles with NACS ports that are real competition are cheaper.

They don't have any talent left. The company is just a meme stonk.

I paid $63k for mine like a moron. 😞

Good question, for which there is an answer. BILLIONS a month - literally - are being spent on AI, computers for AI, electricity for the computers, and for Optimus. Taking big bold bets has been a Musk strength. But it can go wrong.

Nope. Tesla's existing models should decrease in price for the same reason as Ford's Model "T" DECREASED in price, year after year. It takes time to simplify the machine, and to improve manufacturing processes, and to develop more energy dense cheaper batteries. Ditto it takes time vertically to integrate -- as Ford did in the 1920s and as BYD is doing now. Which is why Chinese car companies have cheaper and cheaper models. BYD makes batteries (and sells them to others) AND makes its own semiconductors - a helluva advantage.

Suzuki Samurai.

So Tesla has billions of dollars a month to spend (in some cases waste) on that stuff, and not a few billion to spend over a few years to develop a new model?

Pretty big miss here. 220-250mi $30k model 3 would have been an easy home run, I'm shocked they arent more aggressive with their market share shrinking in all markets. Yes they all knew it was going to happen as EV adoption spread, but they could have significantly slowed down market erosion by keeping the prices cheaper than anyone on the market. Tesla's are not luxury vehicles, and their resale is already tarnished, what else do you have to lose?

I drive a 2023 MY AWD and love it, but am later this month (hopefully) renting a Kia Niro EV for a roadtrip (rather put the 1600 miles on Hertz's car for $100 LOL). I'm a big BEV fan but Elon's buddies in government have totally set back things 5-10 years with all the shenanigans they're pulling. RAV4 Prime might be better, or maybe a BMW 230i xDrive Coupe.

All of them

No split erases the unsustainable PE ratio.

Elon will tweet that the next version of FSD will blow your mind, for the 18th time.

You're betting money that people who have worshipped elon musk for years will all of a sudden stop worshipping him? Puts on tesla stock aren't puts on telsa, they're bets **against** people being stupid.

true dat. Still it did r/t from $220 -> $480 -> $220 not a year ago. The puts are a quarter's worth of divvies in that account, play money basically and a bet that Elon falls on his face before Q3.

Exactly. Tesla cannot do both. This is about choices. During WWII the USA spent big money on "The bomb," and the proximity fuse, and the Norden Bombsite. Germany spent big money on jets and rockets. Turns out, of all those things, the proximity fuse was the more important tech development affecting victory. Nobody can fund everything. Both sides knew about the choices and made different decisions about how to allocate. Musk is taking the bet that AI will evolve rapidly, and being leader there will be more important than having the best EV with the best battery - because it will mean dominance in FSD, robotaxis and Optimus. Am I defending Tesla? Hell no. The main thing is -- ti's a very expensive bet -- it's Musk's V2 rocket. It's why no Model 2 and no roadster and no range of EV trucks like Volvo actually sells. Tesla processes data from every driving Tesla car -- paying for storage and processing without certainty it will be very useful. I think AI at least for the foreseeable many years will NOT live up to the hype, that Optimus is foolish (a 1940s fantasy without a realistic market), and FSD will be most useful for long haul trucking (while on highways) and not a big money maker. Tesla's bet seems foolish. Meanwhile the battery race is getting closer to picking winners. Tesla is unlikely to be among them.

My 2019 Jeep Wrangler Rubicon can go anywhere the Model Y can go. Goes farther on a tank of gas than a Model Y will go with a full charge. Will tow a 2800 lb off- road trailer about 3X as far on a “full tank”. And will go places a Model Y owner can never go all while running with no top and no doors.

This is called “dip before the rip”

i cant even afford a 15k car, what makes them think most Americans are gonna go out of their way for a 40k car?

Once someone gets to full self driving. Everyone will. Tesla won’t have the advantage they think they will. The worst of it is that this tech is one horrific accident away from being banned or heavily regulated. I mean, it’s his money, and he somehow has a ton of it.

Heyoooooooo

Nope, not quite. In many ways it's the opposite. The engineers design a car that can be made at a cheap cost for a startup and elon randomly increaees the costs. Let me explain the tesla design process for you Model s - design the first good ev. A few corners are cut, and the car is shoddily made, but that's acceptable for a startup making the first good ev. Great acceleration, instant feedback, tech ahead of the game, home charging, the start of an actual charging network, it's great. And they figured out how to get a striking look despite the cheap materials (well as striking as it could be with such cheap materials.) Model x - engineers say that if they share the model s platform, they can share up to 60% parts and manufacture the model x for less money than the s despite being a vehicle that could sell more volume. Wait what's this? Elon wants... Extra glass for some reason? I mean looks cool ig, but that cuts down the parts sharing advantage. Oh also we want... Falcon doors? A super complex door that will lead to massive delays introduce even more parts and remove even more model s parts? Now we're only sharing 30% of the model s parts? Oh now we have to now... Remove the radar and rely purely on computer vision? Well that's going to cost significantly more than the radar itself (in R&D) and still not be done in time for the model x (already delayed bc of falcon doors) which will have to ship with radar anyways. Also now instead of being an 70k suv with margins that would allow us to be profitable in 2ish years we have a vehicle that is over 85k and losing money and only sold bc sunk costs make it cheaper to lose money on this than to write it off Model 3/y - ok we learned our lesson and aren't going to be too ambitious. Now we have the manufacturing experience to launch a buickish price point car. We're going to design a simple low cost car with great features (range, charge speed, etc.) since we're not yet capable of high build quality and the demand for our actually good evs vastly outstrips. Demand for our evs to have high build quality. The stupid no radar thing is back, but we already sunk most of the r&d cost we need so it's not the end of the world. We design the car. Great. Oh hey elon... You want us to make this like a dreadnought factory? Fully autonomous? Oh yeah we have some ability to automate this here, and then... Oh wait you want us to automate *everything*. But... We can't automate everything. A single bad car will pause the entire line so that one car can be fixed. Oh you don't care and want to go through with it everything anyways? You hate the aesthetic of... Caution tape? And people... Aren't supposed to exist? And then this doesn't work and then tesla goes to a heavily automated variant of a conventional set up anyways ok now we're finally profitable. But now high qualoty Chinese evs are starting to come out and legacy auto is taking evs seriously. The Chinese have no brand equity and are still figuring this whole thing out and the legacies while making great well built cars are still a bit behind on features, range, etc. That gives us valuable time to either keep going down in price or improve build quality. Oh you want a semi truck? Ok I'll guess we'll spend all this r&d on the truck, but our battery estimates seem a bit unrealistic and hard to match. Oh that gets forgotten after selling a few to Pepsi. Oh a roadster? Oh same thing, we won't actually sell this despite all this ramp&does and even sending it to space. At least we can reuse some of the tech on our new plaids. Oh now you want this... Oh that's so cute, did your child draw this? Oh that's the actual pickup truxk design? It... Fuck there's nothing to improve on this design, it's so shit there's genuinely no way to make this work Now legacy auto has fully caught up with us in price, features, etc. as has china in their ability to build a competent car with all the same selling points as ours at a lower cost. Are we going to maybe so. Something about it? Oh we're not a car company? This is just part of your anti transit hate boner, that's the only reason you did this? And you're a Nazi? The stock price is going up? How?

Gee, the cars that have barely been updated whatsoever since release, except maybe a new bumper cover, aren’t proving to be popular? I’m shocked by this assertion! My good friend has a 2021 (I think) Model Y with enough miles on it now that it’s starting to rattle and clunk and have some odd electrical issues. He said he’ll continue to drive it until it melts down because the used/trade-in values are so horseshit and he can’t bring himself to take what he sees as a loss (it’s paid off). So I get it. But considering that he’s had to have major ($1200-4000) air conditioning system repairs done under warranty every 8-10 months since he bought the car, and it’s now out of warranty, we’ll see how long he sticks to that.

So how’s Dan Ives pumping the stock now? Sexbots?

BYD is done now that they make a car that’s 5000 cheaper to make and sell for 3000 less This was honestly a reaction I’ve seen

It’s like McDonald selling a small coke at an absurd price… Extremeness Aversion IIRC

Does he? He has a ton of fascinating businesses and tons of ownership in them and control over them. But how much cash he has, and how much debt is unknown.

We all know all these decisions were made. Elon stormed into a room, asked for a cheaper car or everyone gets fired.

Elon’s ponzi scheme is still mostly vapour.

Can you drive your 2019 Jeep Wrangler Rubicon 200+ miles for free like I can with my Model Y charged from my rooftop solar? Does it have a sub-5 second 0 to 60, to make getting on interstates effortless? Can you run the heater or AC for hours while parked, or charge up a 12V Dometic camping fridge on long road trips? The Model Y was a helluva value when the incentives were in play; I got my 2023 with $10,500 gov't cash on the hood, plus a $6000 inventory discount from Tesla (since it was just before the end of the quarter). No one car is perfect for all use cases, but the "premium" AWD MY is in fact a damn good car. If it could be packaged in the former Audi A5 two-door form factor, or like a BMW 230i sport coupe it would tick all my boxes : )

now that the $7500 credit is gone resale for new buyers should be looking that much better

Naw. This isn't Musk's V2. This is his Me 163 Komet. Sounds GREAT on paper, but mainly just kills the pilot. Very expensively. But I really just chimed in to nod at the mention of the proximity fuse and to note a cool book "12 Seconds of Silence" on developing that beast.

The cheapo models don’t have laminated side windows, so you actually can escape from them. So there is one thing there did better by accident.

median new car price in the US is probably $40k or more (average is pushing $50k) Tesla's market share is ~4% in the US so it's not really for everyone. This new shitbox option is kinda perplexing, really.

The sole reason they’re still profitable is because they don’t invest in R&D as other manufacturers are. Pissing in the pants will keep you warm for now, but it will get a lot colder soon.

\> This isn't Musk's V2. I stand corrected. I must have thinking of that other company. X-something, or something-x. \> cool book Thanks!

Tesla influencer YouTube channel is so cringe. 😬

The Model S started development in 2007 and is the same platform today. It's now old enough to vote.

Interestingly Ford is now doing the opposite, they said they don't want to be a mass market "volume" car manufacturer and focus on "Iconic" models. https://www.carmagazine.co.uk/car-news/industry-news/ford/jim-farley/ Ford of Europe has scrapped the Mondeo, Focus, Fiesta, KA, B-Max, C-Max, S-Max, EcoSport, Edge and Galaxy. Their cars now are essentially all blobby SUVs, and their EV line up are VWs in different frocks. I'll be surprised if they still exist selling cars in Europe in 15 years time.

and with like 60+% vacant space in their factories not have the ability to start test runs of new models.

Surprise!

"Actually beyond sentient, Multiversally aware"

An accurate summary

Congrats! What did you get?

The only thing Tesla does better than other manufacturers is software. The thing is the other manufacturers are catching up with software, but a Tesla released in 2025 still looks like a Tesla released in 2007; they are falling behind and what once looked like the future now looks dated. But to answer your question, Lucid with Rivian being a close second and for the mainstream the Ford Mustang Mach-E.

It only crushes your dick 88% of the time

i remember it being like 25k about 8 years ago. am i misremembering that? actually asking, not being sarcastic

Why? I heard it wasn't a car company.

ford europe will be dead soon outside of panel vans anyway.

We went with a 2019 Chevy Volt. Our plan is to pay it off quickly and in a few years get a Rivian as our main vehicle.

~$35k https://mediaroom.kbb.com/2018-01-03-Average-New-Car-Prices-Set-Record-High-Up-Nearly-2-Percent-In-December-2017-According-To-Kelley-Blue-Book

You forgot robots.

BMW i4. It’s like comparing a go cart to a real car. Depends on what you value though. If you think a car with an iPad and Apple like software is better than a car that actually excels at being a car then you probably would pick the Tesla.

They spend no money on R&D

>They're gonna get eaten alive lmao. On the contrary, the stock price will go UP. I have no idea why Tesla is valued more than any other car company. All the legacy auto makers have decent EVs in their lineups. Tesla has very little edge left. And overseas BYD is going to take over the market. I would really like to see Musk totally divest from Tesla so we can see some good models. It's sad to see the hard work of the real Tesla founders go to waste like this.

40k IS NOT affordable to the majority of people.

Some people would pay extra for that.

It's already back up. The whole market seems to be disconnected from reality. So many are banking on the next big thing and it isn't going to materialize. This will be bigger than the dotcom crash and possibly come close to 1929.

And this is what came out of the genius Elmo???

It’s just freaking insane you couldn’t make this up

Cost of leather seats to manufacture $50. Value to the customer $1,000. Kind of like the idea of manual everything. Reminds me of Mitsubishi.