Tesla's Q3 flop; Netflix's price hike; Rivian's plunge: Weekly tech roundup
By Louis Juricic and Sarina Isaacs
Investing.com — Here is your weekly Pro Recap on the biggest headlines out of a big earnings week for tech: Tesla's miss and price cut; Netflix's price bump; Apple's new China App Store policy; Rivian's debt offering.
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Tesla (NASDAQ:TSLA) on Monday missed EV delivery estimates after summer upgrades to its factories, reporting 435,059 vehicles in Q3 vs. Wall Street expectations for 456,722.
On the production side, the EV giant manufactured a total of 430,488 vehicles during the quarter, below the estimate of 461,992. Tesla said it expected a drop from Q2 as it made upgrades to facilities, adding, «Our 2023 volume target of around 1.8 million vehicles remains unchanged.»
Wedbush Securities, which has an Outperform rating on Tesla shares, blamed the miss on longer-than-expected downtimes of factories in Shanghai and Austin, Texas, that it says forced the shift of some 20,000 units into the fourth quarter, based on its estimates.
«We believe Tesla is now set to be entering the next stage of growth for the company globally with the Model 3 refresh front and center in China and Cybertruck production set to kick off beginning around Halloween,» Wedbush said in a note on Monday, calling them tailwinds for the stock going into the next year.
Later in the week, the company also announced it would once again reduce prices on some of its popular EVs in the US, cutting its price on the Model 3 sedan to $38,990 from $40,240, and on its long-range Model 3 to $45,990 from the prior $47,240.
The performance model's price tag has been reduced to $50,990 from $53,240, and the Model Y performance
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