Tesla's stock collapses. The Robo-pill fails to take off

October 10 should have been a historic day for Tesla, but the choices made by the manufacturer are disappointing investors.

Those savvy investors who put $16.53 into a Tesla share exactly 5 years ago should not regret their investment today, but they must certainly be kicking themselves for not buying more! With the share price exceeding $220 at the opening of the New York stock exchange on Friday, October 11, this investment is a stroke of genius. It took genius for Elon Musk to impose his vision of electric mobility. Genius, hard work, and a good dose of talent are needed, it must be acknowledged, that today make Tesla the world’s leading seller of electric cars.

But nothing is easier than burning what one has loved, and behind this idyllic picture, Tesla’s situation is quite complex. The automotive market is slowing down, Chinese manufacturers are becoming increasingly present and powerful, and with only 4 models in the Tesla catalog, it gives a bit of an impression of stagnation. Worse, all Teslas should be autonomous today, according to Uncle Elon’s initial plans. We know that this will not happen for many months, if not a handful of years. The big conference on October 10 was, in this regard, awaited as a sign of a new beginning.

And tomorrow?

What to say about the big star of this gathering, the much-anticipated Robotaxi or Cybercab. Elon Musk is convinced that shared autonomous mobility is the future of the automotive industry. To give himself every chance to shine, he has pushed Tesla to abandon a very lucrative short-term project, that of the electric car costing less than €25,000, or even €20,000. But how do you explain to investors that you are abandoning a project that could make a lot of money in a few months for another, much more ambitious one, but whose first dividends won’t arrive until 2027! And it’s not the humanoid Robot Optimus that will reassure them.

Tesla and Musk have disappointed, even though there is a strong chance that everyone will praise them in a few years and cite this October 10 as the date when it all began… or not. It remains that at the opening of the stock market, Tesla’s stock dropped by 8%, falling below $220 compared to $238 yesterday at the close. The obvious sign that some investors are not ready to wait another 5 years. We can’t blame them for that.