00:00 Speaker A
Tesla fourth quarter deliveries, uh 418,227, the estimate was for 440,907. So those estimates, uh those delivery numbers below estimates here for Tesla and that’s not good news, but it was foreshadowed.
00:16 Speaker B
That’s right. It was foreshadowed. I mean, the street was expecting that this wasn’t going to be a great quarter for deliveries for Tesla. Uh you had the tax credits uh that were expiring in September, so that was a pull forward for the third quarter. The fourth quarter was not expected to be great. Also, Europe has Tesla has seen quite a bit of weakness when it comes to its uh deliveries, uh it’s its uh cars in Europe as well declining uh in that region. So, this was somewhat expected by the street. Look, what the street has been sort of pricing in when it comes to Tesla are the robo taxis and the Optimus robots. I mean, I took a look through the transcript of Elon Musk when he was talking as at his shareholder meeting in November. I put it through Gemini and through ChatGBT to see how many mentions of EV were in that. There was one mention. Everything else was a mention of Optimus robots and autonomous. So that is definitely where he sees the vision of this company going and where he’s signaled that the company is going and that’s what the street is pricing in when it comes to this stock.
01:14 Speaker A
Dave, if one likes tech, do you use weak delivery numbers on Tesla to be a buyer?
01:22 Dave
Well, it’s interesting. I think to uh the point earlier, Tesla’s really never traded off of the reality of sort of where deliveries are and where the earnings growth is. It’s almost been a boost um to the stock during uh good times. Uh and what’s interesting, we know we’ve were in this EV winter, numbers were soft. They sort of forecasted that. But Tesla doesn’t really trade off of these numbers at this point anymore. Of course, it’s surprising to see the stock up after they delivered disappointing numbers, but anything worse than a worst case scenario tends to be supported because right now the multiple is pricing in this robo taxi roll out and then the future with humanoid robotics and the Optimus.