Tesla's Stock Drops After Deliveries Data Misses Expectations

Tesla Inc. saw a significant drop in its stock value on Monday following its third-quarter delivery report, which fell well short of already-reduced expectations.

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Tesla's stock, which had risen by 4.0% over the past two days in anticipation of the data, plummeted by 3.2% in premarket trading.

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The company disclosed that it manufactured a total of 430,488 vehicles during the third quarter and delivered 435,059 vehicles. Compared to the previous year, production increased by 17.6%, rising from 365,923 EVs produced, while deliveries surged by 26.5%, up from 343,830.

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The FactSet consensus for deliveries had been 461,000, but this figure had been gradually lowered from 462,000 the previous week and from 470,000 at the end of August.

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Analysts had been revising their expectations downward due to concerns about weakening demand in China. This was attributed to the lower-priced Model 3 undergoing a refresh and the anticipation of limited volume growth.

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Over the past three months leading up to Friday, Tesla's stock had declined by 4.4%, while the S&P 500 index fell by 3.7%.

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