Tesla produced a new version of its Model Y crossover. It might give sales a boost, but it isn't boosting the stock.
Shares of the EV maker just can't catch a bid. Tesla shares slipped nearly 3% in midday trading.
The stock is down despite Tesla starting production of the three-row, six-seat version of its Model Y, called the Model Y L, with L for long wheelbase.
L production appears to be the manufacturing news that Tesla Vice President Lars Moravy teased this past week. Tesla didn't respond to a request for comment about L production.
The launch version of the vehicle starts at about $62,000, or about $4,000 more than the performance version of the Model Y. The base version of the Y starts at about $39,000.
New car versions are typically good for sales, and the decision to sell the L in the U.S., which was originally launched in China, might give Tesla a sales boost.
Tesla is coming off a great quarter for EV sales. It sold about 480,000 vehicles in the second quarter, roughly 70,000 more than Wall Street projected and up 25% year over year. Still, shares are down since the delivery report and remain off about 10% year to date, heading into Wednesday trading.
Investors just aren't that focused on car sales right now. They are thinking about AI. Tesla launched an AI-trained robo-taxi service in Austin, Texas, about a year ago. Now it operates in three states. Investors are waiting for the business to start generating noticeable sales and earnings. They are also waiting for updates about Tesla's AI-trained humanoid robot, Optimus. Tesla is working on the third version of its labor-saving bot.
Robo-taxis and robots will move the stock more than EVs in the coming months.
(END) Dow Jones Newswires
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