Category
🗞
NewsTranscript
00:00 Tesla, a company that joins the Magnificent 7 Club, has witnessed many challenges and obstacles in 2022 and early 2024.
00:13 Will the club be able to maintain its position?
00:17 Let's first take a look at the performance of Magnificent 7 shares in the first quarter of 2024.
00:23 We see a rise in Amazon, Microsoft, Nvidia, Meta and Alphabet shares, which is due to the focus of these companies and acquisitions that have been made on other companies in the industrial intelligence sector,
00:36 amid expectations of an increase in demand for industrial intelligence products.
00:40 On the other hand, we see that Apple has a 8% decline in the first quarter, due to its somewhat distance from the industrial intelligence sector and the disappointing iPhone sales amid a slow decline in demand for China.
00:55 As for Tesla, we see a 29% decline in the first quarter, which is the largest decline since the end of 2022, and the third largest decline since the year 2010.
01:10 With this decline, the company has lost $230 billion in market value, which now reaches about $550 billion.
01:20 Thus, the company's position has declined from the top five companies in the world in a previous time from last year to the top 15 companies in the world at the moment.
01:32 The target price of Tesla shares has fallen, as a result of a slowdown in demand from China, which has led to the burning of Tesla's factory in Berlin, and the company is now in decline in demand in China.
01:46 With a low expected value of 25%, Wells Fargo has lowered the target price to $125.00 out of $200.00, and UBS Kama has lowered the target price to $165.00 out of $225.00.
02:02 If we look at the latest figures that Tesla has measured, we see a decline in the first quarter in the delivery of cars by 8.5% per year, and a decline in production by 2% per year in the first quarter of 2024.
02:18 There is a fear of a slowdown in the electric car market amid the weakening of the Chinese economy, as well as the strong competition and the price war in the electric car market, which has led to a decline in profits in the past year and has affected Tesla's share performance at the same time.
02:34 Also, BYD outperformed Tesla in total deliveries in 2023, and in the second year in a row, all of this has affected the company's share performance in the first quarter of 2024.
02:48 If we look at Tesla's deliveries, we see a continuous decline since the second quarter of 2023, and this is due to a slowdown in the demand for electric cars, and now customers are looking for hygienic cars instead of electric cars.
03:08 Wells Fargo has said that Tesla is a growing company.
03:13 If we go back in time and look at Nokia, we remember that Nokia was the number one telecommunications company in the delivery of mobile phones.
03:23 But after the emergence of Apple and Android devices, the company has moved away from this center and has become a technology provider for telecommunications.
03:33 So the question remains, can Tesla maintain its position in the future or will it be presented as a technology instead of an electric car?