Musk Counters Tesla Delivery Doubt With Upbeat Internal Memo




 

(Bloomberg) -- Tesla Inc. shares swung wildly Thursday after an upbeat email that Elon Musk sent to employees countered days of escalating doubt that the company will hit its vehicle delivery targets.

The chief executive officer wrote that Tesla has a "good chance" in the second quarter of exceeding the record 90,700 deliveries achieved in the last three months of 2018. In the email, which first surfaced on a Chinese social media forum, Musk also said the company has received more than 50,000 net new orders this quarter.

Two people who asked not to be identified confirmed the email is legitimate. Tesla shares rose as much as 3.5% after trading lower by as much as 5.6% during the pre-market session. The stock was up 0.8% as of 10:45 a.m. in New York.

Musk's memo contradicted multiple analysts who have cast doubt on Tesla's ability to deliver at least 90,000 electric vehicles this quarter and 360,000 this year. Gene Munster, a managing partner of venture capital firm Loup Ventures, became the latest to cast doubt on the company reaching those numbers, telling Bloomberg Television late Wednesday that "2019 is going to be a difficult year."

"They're going to miss their numbers, their target -- everyone knows that," Munster said Wednesday. In a follow-up interview Thursday, he said demand is "really a wild card."

Tesla shares are still down about 42% so far this year.

(Updates with comments from Bloomberg Television interviews starting in third paragraph.)

--With assistance from Jonathan Ferro and Josh Eidelson.

To contact the reporters on this story: Esha Dey in New York at edey@bloomberg.net;Gabrielle Coppola in New York at gcoppola@bloomberg.net

To contact the editors responsible for this story: Craig Trudell at ctrudell1@bloomberg.net, ;Brad Olesen at bolesen3@bloomberg.net, David Welch

For more articles like this, please visit us at bloomberg.com

©2019 Bloomberg L.P.

COMMENTS

More Related News

Elon Musk
Elon Musk's biggest worry about SpaceX's first astronaut mission isn't the rocket launch - it's the spaceship's return to Earth

Elon Musk's "biggest concern" is reentry - the final stage of SpaceX's biggest mission for NASA, when its astronauts must hurtle back to Earth.

NASA is broadcasting live radio chatter from the astronauts on Saturday
NASA is broadcasting live radio chatter from the astronauts on Saturday's historic SpaceX launch. Here's how to listen.

Listen to the NASA astronauts Bob Behnken and Doug Hurley aboard SpaceX's Crew Dragon as they launch into orbit.

Masks Are Here to Stay, Even After Covid Goes Away
Masks Are Here to Stay, Even After Covid Goes Away

(Bloomberg Opinion) -- There were many missteps in the U.S. response to Covid-19, especially at the outset of the outbreak. One that stands out is the early choice to recommend against the widespread public use of masks by the Trump administration, the Centers for Disease Control and Prevention - and even Anthony Fauci.In hindsight and in light of current pro-mask guidelines, it's easy to get upset at what feels like inconsistent advice and a delayed reaction, but the ability to change opinions based on new information is what we should want from public-health officials, even while wishing they were faster or right the first time around. That's how science works, especially during the...

Iran Warns U.S. on Naval Activity in the Gulf
Iran Warns U.S. on Naval Activity in the Gulf

(Bloomberg) -- Iran's Islamic Revolutionary Guard Corps unveiled scores of new and upgraded defensive speedboats with a warning to the U.S. that it won't shy away from challenging American naval power."Today we announce that wherever the Americans are, we're right there beside you, and in the near future

Big Bankruptcies Sweep the U.S. in Fastest Pace Since May 2009
Big Bankruptcies Sweep the U.S. in Fastest Pace Since May 2009

(Bloomberg) -- In the first few weeks of the pandemic, it was just a trickle: companies like Alaskan airline Ravn Air pushed into bankruptcy as travel came to a halt and markets collapsed. But the financial distress wrought by the shutdowns only deepened, producing what is now a wave of insolvencies

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy