24/7 Wall St. Insights
- Third-quarter sales at Tesla Inc. (NASDAQ: TSLA) disappointed investors.
- However, the EV giant’s sales in China were impressive in September.
- Also: Dividend legends to hold forever.
Third-quarter sales at Tesla Inc. (NASDAQ: TSLA) disappointed investors. The electric vehicle (EV) giant produced 470,000 vehicles and delivered 463,000 worldwide. Investors worry about the erosion of Tesla’s share of the U.S. EV market, which recently dropped below 50% for the first time. There is also concern that in China, the world’s largest EV market, Tesla sales may be knocked down by local EV companies led by BYD.
Tesla’s sales in China for September were impressive. They rose 19.2% over the same month last year. The China Passenger Car Association released the figures.
According to Reuters, September sales lifted Tesla’s Chinese third-quarter numbers. The news service reports that they rose 12% compared to the same quarter last year. Sales fell in the first two quarters compared to 2023 figures. Some of the recent improvements may be based on aggressive incentives.
Tesla needs Chinese sales to do extremely well. EV sales growth in the United States has nearly flattened. In Europe, in some months this year, EV sales have dropped. That fall-off is in the double-digit percentages in Germany. China offers an advantage to most EV companies. EV adoption in the world’s largest country by population has been brisk.
While the Chinese growth should hearten investors, Tesla’s near-term success will be determined by its new robotaxi, which is about to be launched. It is rumored to be the world’s first truly self-driving vehicle. It will not require the driver to monitor the road at all.
Sales in China may be good news, but not good enough.
Are These 3 EV Stocks Good to Invest in This Year?
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
The post China Sales Are Evidence of Tesla Recovery appeared first on 24/7 Wall St..