Sci-tech

Elon Musk kinda, sorta admits he messed up

Elon Musk kinda, sorta admits he messed up

Amidst the firestorm of criticism from various media outlets followed by a steep dive of Tesla stock (NASDAQ:TSLA), Elon Musk has gone on Twitter to explain what exactly happened during the recently-held and now-controversial Q1 2018 earnings call.

Explaining his decision in a string of tweets - which Mr Musk prefaced with a warning to "ignore unless you're interested in a tedious discussion about Tesla stock" - he said that the company was the most shorted stock on the market.

Musk is now on damage control, attempting to justify his unusual behavior in an unfiltered tweetstorm.

The news that Tesla released in its earnings report was "actually super good", Musk said in another tweet.

What's going on with the Model 3? The SUV crossover will likely be produced at a new factory that would be announced towards the end of this year. The controversial driving assist feature has played both the role of scapegoat and cause of crashes involving Tesla vehicles.

"We need to become a profitable company", he said.

The spat comes at a crunch time for Tesla, when it is struggling to ramp up production of its Model 3 sedan, on which its profitability depends.

The California company is still struggling to ramp up the Model 3 production, for which it has received almost 500,000 pre-orders.

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The questions Musk cut short on Wednesday related to Model 3 reservations and capital requirements. Tesla told shareholders that it expects to achieve the original goal of 5,000 units per week in a couple of months.

The Model Y will be one of the company's cheaper vehicles, according to Business Insider.

Just after the electric auto and solar panel company announced a record first-quarter loss, the Tesla CEO cut off two analysts who sought some basic answers: details about the company's cash needs and orders for its all-important Model 3 mass-market electric vehicle.

Investors have consistently given Musk a pass for frequent misses of lofty production targets in the past, and Ramsey said that probably won't change. "Next. Boring, bone-head questions are not cool".

While Tesla is seen by most as a "story stock" - meaning that its value is mostly linked to its future potential and all the products in its pipeline rather than its current financial results, historically, Tesla had its biggest stock price increases after reporting a profit.

Tesla's stock price dropped to $283 on Thursday, down from a record of $389 reached in September.

Tesla posted a net loss of $710 million on $3.41 billion in revenue for the January-March quarter.