Tesla stock opened on the market Thursday, October 3rd with a seven percent drop after reporting disappointing third-quarter numbers. The manufacturer was estimated to have produced between 95,000 and 100,000 vehicles, and reportedly delivered 97,000. Both numbers came in lower than anticipated.
In a press release, Tesla wrote, “Our delivery count should be viewed as slightly conservative, as we only count a car as delivered if it is transferred to the customer and all paperwork is correct. Final numbers could vary by up to 0.5% or more.”
Pressure on Tesla to right the ship in the fourth quarter now becomes the company’s focus. At the start of the year, they said they expected to deliver between 360,000 and 400,000 cars. So far, they have delivered 255,000, although they claim to have an increase in their current order backlog.
Rajvindra S. Gill, a Needham analyst, is not confident about Tesla’s ability to deliver, “We are skeptical of its ability to record such a high number of deliveries given the competitive pressure in Europe and declining tax credits.”
The seven percent drop in Tesla’s stock continues an alarming trend in 2019 for the electric automaker. Overall, shares of the company have fallen 27 percent in the last year.