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Tesla In 24 Hours: Gigafactory Holdups, Executive Departures, NTSB Reports

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Tesla In 24 Hours: Gigafactory Holdups, Executive Departures, NTSB Reports
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Tesla Inc (NASDAQ: TSLA)'s stock was unshaken Thursday after a few negative reports hit the wire in under 24 hours.

Model 3 Robots

First, Business Insider reported Wednesday afternoon that the company was having issues with Model 3 production robots. The Gigafactory equipment meant to assemble battery backs were found not yet operational.

Notably, expectations for a Sunday launch were dashed by a Business Insider source who assured the machines were meant to be installed in the weeks following Memorial Day.

Then, on Thursday, two additional catalysts struck in succession.

NTSB Report

The National Transportation Safety Board released a preliminary report on a March fatality in California involving a Tesla on autopilot. The vehicle, it said, accelerated in the seconds preceding the crash, and the car’s battery reignited five days later.

Notably, though, the investigation also found the autopilot system warned the driver to put his hands on the wheel 15 minutes ahead of the crash. While the driver's hands were detected on the wheel for 34 seconds in the minute preceding the collision, they had not touched the control in the final six seconds.

Another Exec Leaves

Tesla was also reported to have lost a senior engineering executive — a transition sustaining a long-term exodus of top managers.

Investors Unfazed

The day’s news follow a generally positive week for Tesla, which galvanized investors around its annual shareholder day, retained CEO Elon Musk as chairman of the board and secured a Consumer Reports recommendation for the Model 3.

Tesla's stock traded around $323.30 at time of publication, following its best one-day performance since 2016.

Related Links:

Morgan Stanley Isn't Buying Tesla's Claims For Profitability, Positive Cash Flow, China Prospects

Needham Holds Tesla On Manufacturing Problems, Long-Term Drag On Gross Margins

Posted-In: Gigafactory Model 3 National Transportation Safety BoardNews Media Best of Benzinga

 

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