XPEV - Tesla's Horror Week Ends With Another Price Cut Rivian's Second Round Of Layoffs Lucid Touts Longest-Range Domestic EV And More: Biggest EV Stories Of The Week | Benzinga
Most electric vehicle stocks retreated along with the broader market in the week that ended on April 19, with company-specific developments also weighing down on stocks. It was a week to forget for Tesla, Inc. (NASDAQ:TSLA), as the stock settled at the lowest level since January 2023.
Here are the key events that happened in the EV space during the week:
Tesla Job Cuts, Estimate Re-Ratings And More: Tesla opted to right-size operations amid its fundamental travails. An email from CEO Elon Musk shared by media said the company let go 10% of its global workforce, amounting to about 14,000 employees. Musk justified the move by stating on X, “Every half decade or so, Tesla has to undergo a complete organizational overhaul to reach the next level.”
Notable among the eliminations were SVP of Powertrain and Energy Engineering Andrew Baglino and Vice President of Public Policy and Business Development Rohan Patel. An Information report said, with the eliminations, Musk has now a tight grip over the company, with at least 35 key personnel reporting directly to him. An organizational behavior professor at Stanford said this is “a recipe for CEO overload and being a bottleneck.”
The week also saw several sell-side analysts bringing down their price targets and estimates, just ahead of the first-quarter earnings date. Their main worry is that the company ...