Elon Musk just lost $15 billion as Tesla’s share value took a big hit.
Safe to say, Tesla’s recent robotaxi event last week didn’t go as well as people could’ve hoped.
The big reveal had the company debut the long-awaited prototypes for its Cybercab and Robovan.
However, the event left many investors and Wall Street analysts unimpressed and their questions unanswered.
Some analysts pointed out the lack of detail about Tesla’s self-driving plans and failure to update its fault detection system and ultimately, expressed doubt about the timelines for bringing these vehicles to market.
Musk did announce Tesla’s plans to roll out its autonomous Cybercabs ‘before 2027’ but did not provide a timeline for the launch of its 20-seater Robovan – or when either vehicle would begin manufacture.
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Furthermore, Morgan Stanley analysts reported that the billionaire didn’t make a strong case for Tesla being an AI company during the event.
This follows rumours of a partnership between Tesla and Musk’s startup xAI.
The analysts said the event ‘disappointed expectations in several areas: a lack of data regarding rate-of-change on FSD/tech, ride-share economics, and go-to-market strategy.’
Morgan Stanley analyst Adam Jonas wrote to his clients (as reported by Business Insider): “Heading into what might arguably have been the most highly anticipated product unveil in Tesla’s history, we had a number of expectations of what the market might learn that we felt were consequential to the direction and debate around the stock.
“We were overall disappointed with the substance and detail of the presentation.”
During the event, the company also launched the latest prototypes for its humanoid Optimus robots were the life of the party; dancing, pouring drinks and posing for selfies.
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Though it seemed it was all to no avail. Tesla’s stock dropped heavily in the aftermath, taking its CEO’s net worth down with it.
Musk holds about 13% of Tesla’s stock so his wealth is quite closely tied with the company’s value.
On Friday, Tesla’s stock fell over 9%, dropping from $238.77 to $217.80 per share.
Even though Musk has his shares dispersed in The Boring Company and xAI, he still saw a $15 billion drop in his net worth that day.
Nevertheless, Musk remains the richest man on earth, with a total net worth of $240 billion, according to the Bloomberg Billionaires Index. And there’s still a chance for the SpaceX founder to become the first trillionaire in history by 2027.
