Tesla (TSLA) is doing so well these days that bears are now holding onto straws with some burger-free stories to try and paint great results in bad light.
You can smell the despair.
Last week, Tesla published its production and delivery results for the first quarter of 2021.
The automaker delivered more than 184,000 vehicles in the first three months of the year, exceeding virtually all expectations from industry observers.
Tesla deliveries were up 110% year-over-year and broke its own all-time delivery record.
Wall Street has been taking in the results and most analysts have to revise their estimates after Tesla beat expectations.
But one analyst, Gordon Johnson, a longtime GLJ Research analyst and Tesla Bear, isn’t impressed.
Rather than focus on Tesla delivering a record number of vehicles, building on the automaker’s already enormous leadership in electrification, Johnson focused on the rumor that Tesla discounted 1,000 Model 3 vehicles in China.
The unverified rumor was shared today on social media and claims that Tesla discounted 1,000 Model 3 vehicles for employees of CATL, one of Tesla’s battery suppliers:
Johnson took the story to financial media sites and said via Street Insider:
“Well, there would be no reason for TSLA to sell 1,000 cars at a 20% discount IF they had orders for those cars that are not discounted. Therefore, at the end of 1Q21, TSLA ran out of orders for its cars and therefore had to grant discounts of 20% on cars that had already seen price cuts of 19-30% ”.
China is an important market for Tesla and is expected to have contributed more than 40,000 vehicles in the last quarter.
Gordon Johnson is one of the worst financial analysts in the world, according to Tip Ranks, ranking 7,161 out of 7,425 analysts on the platform.
Is that where the Tesla bears are now? Tesla offers a record number of vehicles, beating all expectations and instead focusing on an unverified rumor from an anonymous source on social media?
Desperation is obvious.
Even if the rumor turns out to be true, who cares? It could have been part of a bigger deal considering all the business Tesla does with CATL.
While Tesla doesn’t have millions of units per year yet, it has grown into a major automaker, which, as Johnson said, would be impossible for years.
Now they don’t know what to make of it and they cling to straws to try and paint Tesla in bad light.
There are still a lot of “TSLAQ” folks out there, but they’re not as loud as they used to be and they’re less popular on Wall Street.
Johnson is one of the last and it is not surprising, as he seems to be one of the worst analysts in the world and that says something because there are so many people who are terrible at that job.
According to Tip Ranks, he had a sell rating on Tesla shares as they were worth $ 60 and is now worth almost $ 700 and has made equally bad decisions at other green companies, such as SolarEdge.
It is exceptionally bad among exceptionally bad people. I understand why your views on Tesla are being used by financial outlets like Street Insider.
Full Disclosure: I own TSLA shares.
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