Tesla's Rushed Model Y Unveiling Looks Like Desperation

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About: Tesla, Inc. (TSLA)
by: John Engle
This article is exclusive for subscribers.
John Engle
Value, special situations, Deep Value, Growth
Summary

Tesla CEO Elon Musk announced that the Model Y SUV would be unveiled at an event on March 14.

The announcement was met with market skepticism. Many viewed it as an attempt to distract from signs of falling demand in the current product lineup.

Despite claiming volume production will begin in 2020, this seems unlikely. No equipment has been procured, RFQs have not been issued, and the production location has not been officially finalized.

The SUV market is much larger than the sedan market, but the Model Y is unlikely to save Tesla's flagging growth story.

Bulls and bears rarely agree on anything when it comes to Tesla (TSLA) or its colorful CEO, Elon Musk. Yet, a remarkable degree of consensus has emerged on at least one point: Musk