The Reception of Tesla, Inc. ‘s Cybertruck Delivery Event(NASDAQ: TSLA) was quiet among analysts, with two notable bulls making cautious comments following the launch of the solid electric vehicle pioneer’s newest vehicle.
Analysts insist on disappointing prices: At the current level of production, Tesla could lose $40,000 worth of vehicles, Gene Munster, co-founder of Deepwater Asset Management, said in an interview with CNBC on Thursday night. The loss will most likely be reduced when the corporate manages to manufacture 10,000 units, he said.
“I’ve been waiting for this for 4 years. Today I was disappointed with the price,” the fund manager said, adding: “I have a reserve [but] I don’t know if I’m going to get it,” he said. aggregate.
In a separate video posted on X, formerly Twitter, Munster said charges for trim levels were 20% to 25% higher than he expected. The Cyber Beast and all-wheel-drive versions charge $99,000 and $80,000, respectively, and the single-motor rear-wheel drive version, which will be available in 2025, costs $61,000, he noted.
The fund manager, however, said Tesla is doing the right thing by keeping prices higher as it can’t produce enough of the EV in the near term to meet demand.
Future Fund co-founder Gary Black also echoed Munster’s sentiment. In an article about X, the fund manager said that the value was higher than his estimate.
In the past, Black expected the RWD, dual-motor AWD, and three-motor AWD variants to be priced at $49,900, $59,900, and $79,900, respectively.
However, he highlighted the positive aspect of the cloud. ” At higher prices, there is less chance of cannibalizing the Y/X model,” he said.
Minimal short-term contribution: Munster estimates that Tesla will likely produce 35,000 devices by 2024. With higher prices, the company will be able to make margins on the few cars it will be able to deliver, he said.
The fund manager said that ultimately costs would have to come down if Tesla needs to gain market share. “If they don’t, it’s going to go back to the Model S, the X,” he warned.
These two EVs make only a marginal contribution compared to the company’s conventional EVs, the Model 3 and Model Y. In the third quarter, Tesla delivered 15,985 Model S and Model X electric vehicles, compared to 419,074 units of the Model 3 and Model Y.
Munster noted that the pickup truck category is an important market, and therefore Tesla’s ambition is to eventually cut costs. The company will be able to do so in a couple of years, once it increases production volume and improves production power, he said.
Wedbush analyst Daniel Ives expects Tesla to produce 2,000-3,000 units of Cybertruck in 2023. The first 10,000-unit quarter will likely come in the first half of 2024, he said. Unlike Munster, Ives expects the 240,000-unit annual production rate to come sometime in 2025. The analyst said it would be longer than 12-18 months for Cybertruck to be cash-flow positive.
Ives sees the vehicle cementing Tesla’s position as an innovator in electric vehicles. “While Cybertruck doesn’t particularly move Tesla’s monetary needle in FY24, it also shows the leadership in innovation and brainstorming that Tesla has built with many OEM competitors around the world, on the stuck treadmill,” he said.
Ives maintained his outperformance score and value target of $310 in Tesla stock.
In premarket trading on Friday, Tesla shares fell 0. 88% to $237. 97, according to data from Benzinga Pro.
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