More smoke and mirrors from Tesla



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The announcement of surprise results from Tesla Inc. is another sign of a company devoid of true leadership and that looks like a strategy to long-term.

Elon Musk, President and Chief Executive Officer of Telsa Inc., appeared on television on Friday, September 7, 2018, on the New York Stock Exchange (NYSE) in the US The US technology stocks rebounded Broadcom sales exceed estimates and hitherto prevent the Trump government from preventing the escalation of the trade war with China Photographer: Michael Nagle / Bloomberg

Although the company n & # 39; 39 Someone thinks that Tesla's numbers are going to be even more disappointing than usual, suggesting that the company wants to have the bad news, but it has not explained its decision to advance its third quarter results. most pe This is because Tesla is finally going to publish AP President and CEO Elon Musk wants to make sure the good news is not overshadowed by the mid-term elections in the United States.

I think the bubbles are right, but that does not mean that Tesla has turned the corner. And Tesla rush to announce his good news is another sign that this is a business driven by a short-term thinking.

Read the tea leaves

Musk promised third-quarter profits and positive cash-flow, and Tesla did everything to honor his commitment – but not by addressing underlying problems of society.

"Like the second-quarter shenanigans that were expected to produce 5,000 models 3 for a week in June, in the third quarter, production was focused on high-income models and car deliveries were manipulated. We therefore fully expect that Tesla has found a way to make a profit for the third quarter and would be very surprised if they do not, given the obstacles they have overcome to do so. " said badyst David Kudla, chief investment strategist at Mainstay Capital Management, in a note on Tuesday morning. "Just as Elon Musk used his customers as tesla autopilot beta testers, he used deposits and full customer payments to generate revenue on delayed deliveries."

Achieving profitability and positive cash flow is the least of Tesla's concerns. The real challenges it faces are at the production level.

The company still struggles to deliver a few thousand cars a week, while tens of thousands of people are managed by even smaller car manufacturers without problems.

The cars that Tesla manages to deliver are still not ready for prime time. Kudla says that more than half of Model S's Tesla owners had their cars in the store for at least a week, noting that at Teslas the worst performance in terms of reliability was the latest hybrid and electric vehicles.

A true leader would attack these problems head-on. He would not blame them for the lack of car carriers nor the surprise discovery that their company did not have service coverage nationwide. Nor do they engage in drunken watchtowers or potentially criminal market manipulations.

A true leader would take responsibility for letting customers and setting a clear plan for meeting the challenges of society. Then they would make sure that their company would keep its promises – and its vehicle orders. I mean really responding to it by tackling the underlying problems, and not playing with the production schedule or bank deposits of clients for short-term gains.

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The Surprise of Tesla Inc. The announcement of the results is another sign of a company devoid of true leadership and that looks like a long-term strategy.

Elon Musk , chairman and chief executive officer of Telsa Inc., is seen on the New York Stock Exchange (NYSE) floor in New York, USA, on Friday, September 7, 2018. US technology stocks rebounded after a Sale of three days while the results of Broadcom exceeded estimates and that the Trump administration was hitherto prevented from intensifying the trade war with China.Michael Nagle / Bloomberg

Although the company has not explained its decision to advance its third quarter results, many speculation have been made online about the reasoning behind this reasoning.Some think that the Tesla figures will be identical. usually, suggesting that the company wants to get the bad news. But most think it's because Tesla will finally save a profit for the first time since 2013, and they say CEO Elon Musk wants to make sure the good news is not overshadowed by the elections mid-term in the United States.

I think the bulls are right, but that does not mean that Tesla has turned the corner. And Tesla & # 39; hastening to deceive, his good news is another sign that this is a business driven by a short-term thinking.

Read the tea leaves

Musk has promised third-quarter profits and positive cash-flow, and Tesla has done everything to honor his commitment – but not by addressing the underlying problems of society .

"Like the second-quarter shenanigans that produced 5,000 Model 3 for a week in June In the third quarter, production builds were focused on high-income models and car deliveries were manipulated. We therefore fully expect that Tesla has found a way to make a profit for the third quarter and would be very surprised if they do not, given the obstacles they have overcome to do so. " said badyst David Kudla, chief investment strategist at Mainstay Capital Management, in a note on Tuesday morning. "Just as Elon Musk used his customers as tesla autopilot beta testers, he used deposits and full customer payments to generate additional revenue on delayed delivery vehicles."

Achieving profitability and positive cash flow is the least of Tesla's concerns. The real challenges it faces are at the production level.

The company still struggles to deliver a few thousand cars a week, while tens of thousands of people are managed by even smaller car manufacturers without problems.

The cars that Tesla manages to deliver are still not ready for prime time. Kudla says that more than half of Model S's Tesla owners had their cars in the store for at least a week, noting that at Teslas the worst performance in terms of reliability was the latest hybrid and electric vehicles.

A true leader would attack these problems head-on. He would not blame them for the lack of car carriers nor the surprise discovery that their company did not have service coverage nationwide. Nor do they engage in drunken watchtowers or potentially criminal market manipulations.

A true leader would badume the responsibility of leaving customers and defining a clear plan to face the challenges of society. Then they would make sure that their company would keep its promises – and its vehicle orders. I mean really responding to it by tackling the underlying problems, and not playing with the production schedule or bank deposits of clients for short-term gains.

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