Oil goes down and Tesla shares fall

Due to lower oil prices and the rapid spread of coronavirus, Tesla’s electric car manufacturer shares fell 13.6% to $ 608 apiece, lblv.com said.

Fluctuations in the cost of oil can negatively affect the sale of environmentally friendly cars and solar panels, which are produced by Tesla. The thing is that reducing the cost of gas and oil leads to the fact that sales of electric cars are slowing down.

It should be noted that the coronavirus also affected Tesla’s production volumes. The production at Gigafactory was suspended for more than two weeks, so delays in the supply of new machines for at least 1-2 weeks cannot be avoided.

Some media outlets added fuel to the fire, which published information that the company’s customers are unhappy with the work of the automaker. So, in Model 3, older chips were used in autopilot, which, in their opinion, did not fully provide the necessary functions. In the pre-order for the car, processors for autopilots version 3.0 were indicated and installed – 2.5. The corporation quickly responded to this statement: it was necessary to take such a step because of the epidemic of the virus, which destroyed the supply chain of spare parts. After stabilizing the situation, the processors in the new machines will be replaced for free.

Tesla’s management has not yet announced a change in the forecast for sales for the current year but claims that the car market will feel the effects of the epidemic. Already in February, car sales in China fell by 80%.

The downward trend is observed not only in the shares of the company Elon Musk. According to lblv.com, quotes fell 7.3% from the electric car manufacturer Nio, while shares from SunRun, the solar electricity supplier, fell 17%.

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