00:00 Speaker A
and Tesla is doing something it almost never does. It’s previewing its own fourth quarter deliveries release and lowering expectations, signaling a sharper year-over-year decline than many on Wall Street expected. Joining me for more is a Yahoo Finance senior auto reporter, Prassy Ranan. So Prass, break this all down for us. Why did they decide to release it and what do you make of the early release?
00:23 Pras Subramanian
Well, there’s no real reason that we know, right? It’s really unusual putting this out. Basically they they did their own Wall Street consensus estimates. They pulled, you know, using different uh analyst estimates there and they said that they claim consensus is at 40 400 423,000 units globally. I forgot the thousand there. representing a 15% drop year-over-year, right? Uh now that’s below Bloomberg’s own 445,000 uh delivery estimate. So it’s significantly lower there.
01:03 Pras Subramanian
Uh for the year consensus assessment, Tesla says 1.64 million deliveries, an 8% drop compared to a year ago and the second straight year of declines year over year for Tesla. So, you know, what’s going on here? You know, why would you release these estimates, right? Some people think that they’re trying to cushion the blow of a really bad Q4 report. You know, we had the loss of tax credit affecting sales and maybe it’s worse than we thought. So that’s probably what’s going on here maybe.
01:31 Pras Subramanian
Uh but for the stock, it doesn’t matter, right? Declining sales don’t matter. Stock is up, you know, a little bit down today, but up for the year. It’s all about AI and Robo taxis.
01:40 Speaker A
Yeah, and back in September, we saw the cost of a vehicle jump up because of that expiration of the EV tax credit. More and more people are trying to get their electric vehicles before the tax credit expired.