Hyperdrive
Tesla Slumps as Battery Day Letdown Clouds $320 Billion Gain
- Shares give back some of surge on lack of near-term catalysts
- Musk sees ‘a clear path to success but a ton of work to do’
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Tesla Inc.’s highly anticipated “Battery Day” fell short of expectations that helped fuel its $320 billion surge in market value this year, with Elon Musk outlining grandiose goals that will take time to pull off.
The chief executive officer laid out a plan Tuesday to build a $25,000 car and cut battery costs in half over the next three years. Analysts said while the technology and manufacturing innovations outlined were impressive, Tesla’s valuation already reflected its ability to disrupt and investors may be let down by the lack of surprises at the much-hyped battery-showcase event.