Connect with us

Investor's Corner

Tesla’s 2019 Annual Shareholder Meeting: 10 things retail investors want to know

Published

on

Tesla’s retail investors are aggregating a number of inquiries that will hopefully be addressed by the electric car maker in the upcoming 2019 Annual Shareholder Meeting, which will be held later today. The questions are compiled from verified TSLA investors by Say, a startup whose aim is to develop effective investor communication tools.

Through the online platform, TSLA investors submitted and voted on inquiries that they wish would be discussed and explained by Tesla during the event. So far, the crowdsourced initiative has been garnering a fair amount of support from investors, with over 420 retail shareholders representing around $27 million worth of TSLA stock submitting their inquiries as of writing.

Here are a number of questions that have garnered a good number of votes from retail shareholders.

  • What is the status of Tesla insurance for vehicles?
  • What aspects of battery production will the integration of Maxwell technology affect and by what factor including cost, energy density, and longevity? Will it also impact batteries used for energy storage?
  • Production has been battery constrained for some time now. Can you describe Tesla’s road map to increase cell and pack production as the Model Y, Semi, Pickup, and Roadster 2.0 will dramatically add to Tesla’s battery needs?
  • Can Tesla provide an update on the direction of (its) solar business?
  • Elon, you’ve said you want Tesla to be the best manufacturer on earth. Can you comment on some of the things manufacturing wise that will be different in Giga3 compared with Fremont and the other Gigafactories?
  • Tesla does not advertise which is a good thing (mostly). However, majority of the people are unaware of how affordable, fun and efficient Tesla cars are. Any plans for non-traditional marketing to educate the people on the advantages of owning a Tesla and accelerate adoption?
  • Is there any chance the Model Y production schedule will be pushed up? We all know Crossovers and Small SUVs are the highest selling automobiles now, and many other automakers appear to be readying theirs for sale.
  • Would Tesla consider opening up the “Tesla Ride-sharing Network” prior to full autonomy being reached? Allowing the public to hail premium rides from Tesla owners through the Tesla App would add an additional source of revenue generation and introduce non-owners with the brand.
  • At the end of 2018 Q4 you announced a significant multifaceted service initiative. How far has it come and how much further does it need to go to be where you want it to be?
  • When will model 3 owners who paid for FSD get upgraded from HW2.5 to HW3?

Tesla has been tapping into the pulse of its retail shareholders using the Say platform for the past quarters. During last year’s second quarter earnings call, for example, retail investors representing $60 million worth of TSLA shares aggregated over 300 inquiries for the company, and five were personally addressed by CEO Elon Musk during the Q&A session. Say also played a huge part in Tesla’s Q1 2019 earnings call, where investors inquired about updates on projects such as the Maxwell acquisition and Powerpack production.

Tesla’s 2019 Annual Shareholder Meeting is expected to be held on Tuesday, June 11, 2019, at 2:30 p.m. Pacific Time at the Computer History Museum located in Mountain View, CA. Similar to the company’s Autonomy Day, which saw Tesla unveil the capabilities of its custom-designed full self-driving computer, the upcoming shareholder meeting will be livestreamed. The link for the event’s livestream could be accessed here.

The full list of questions from TSLA’s retail investors listed on Say for the Annual Shareholder Meeting could be accessed here.

Advertisement

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

Advertisement
Comments

Elon Musk

Tesla investors will be shocked by Jim Cramer’s latest assessment

Jim Cramer is now speaking positively about Tesla, especially in terms of its Robotaxi performance and its perception as a company.

Published

on

Credit: CNBC Television/YouTube

Tesla investors will be shocked by analyst Jim Cramer’s latest assessment of the company.

When it comes to Tesla analysts, many of them are consistent. The bulls usually stay the bulls, and the bears usually stay the bears. The notable analysts on each side are Dan Ives and Adam Jonas for the bulls, and Gordon Johnson for the bears.

Jim Cramer is one analyst who does not necessarily fit this mold. Cramer, who hosts CNBC’s Mad Money, has switched his opinion on Tesla stock (NASDAQ: TSLA) many times.

He has been bullish, like he was when he said the stock was a “sleeping giant” two years ago, and he has been bearish, like he was when he said there was “nothing magnificent” about the company just a few months ago.

Now, he is back to being a bull.

Advertisement

Cramer’s comments were related to two key points: how NVIDIA CEO Jensen Huang describes Tesla after working closely with the Company through their transactions, and how it is not a car company, as well as the recent launch of the Robotaxi fleet.

Jensen Huang’s Tesla Narrative

Cramer says that the narrative on quarterly and annual deliveries is overblown, and those who continue to worry about Tesla’s performance on that metric are misled.

“It’s not a car company,” he said.

He went on to say that people like Huang speak highly of Tesla, and that should be enough to deter any true skepticism:

“I believe what Musk says cause Musk is working with Jensen and Jensen’s telling me what’s happening on the other side is pretty amazing.”

Advertisement

Tesla self-driving development gets huge compliment from NVIDIA CEO

Robotaxi Launch

Many media outlets are being extremely negative regarding the early rollout of Tesla’s Robotaxi platform in Austin, Texas.

There have been a handful of small issues, but nothing significant. Cramer says that humans make mistakes in vehicles too, yet, when Tesla’s test phase of the Robotaxi does it, it’s front page news and needs to be magnified.

He said:

“Look, I mean, drivers make mistakes all the time. Why should we hold Tesla to a standard where there can be no mistakes?”

Advertisement

It’s refreshing to hear Cramer speak logically about the Robotaxi fleet, as Tesla has taken every measure to ensure there are no mishaps. There are safety monitors in the passenger seat, and the area of travel is limited, confined to a small number of people.

Tesla is still improving and hopes to remove teleoperators and safety monitors slowly, as CEO Elon Musk said more freedom could be granted within one or two months.

Continue Reading

Investor's Corner

Tesla gets $475 price target from Benchmark amid initial Robotaxi rollout

Tesla’s limited rollout of its Robotaxi service in Austin is already catching the eye of Wall Street.

Published

on

Credit: Tesla

Venture capital firm Benchmark recently reiterated its “Buy” rating and raised its price target on Tesla stock (NASDAQ: TSLA) from $350 to $475 per share, citing the company’s initial Robotaxi service deployment as a sign of future growth potential.

Benchmark analyst Mickey Legg praised the Robotaxi service pilot’s “controlled and safety-first approach,” adding that it could help Tesla earn the trust of regulators and the general public.

Confidence in camera-based autonomy

Legg reiterated Benchmark’s belief in Tesla’s vision-only approach to autonomous driving. “We are a believer in Tesla’s camera-focused approach that is not only cost effective but also scalable,” he noted. 

The analyst contrasted Tesla’s simple setup with the more expensive hardware stacks used by competitors like Waymo, which use various sophisticated sensors that hike up costs, as noted in an Investing.com report. Compared to Tesla’s Model Y Robotaxis, Waymo’s self-driving cars are significantly more expensive.

He also pointed to upcoming Texas regulations set to take effect in September, suggesting they could help create a regulatory framework favorable to autonomous services in other cities.

Advertisement

“New regulations for autonomous vehicles are set to go into place on Sept. 1 in TX that we believe will further help win trust and pave the way for expansion to additional cities,” the analyst wrote.

https://twitter.com/herbertong/status/1938287117441855616?s=10

Tesla as a robotics powerhouse

Beyond robotaxis, Legg sees Tesla evolving beyond its roots as an electric vehicle maker. He noted that Tesla’s humanoid robot, Optimus, could be a long-term growth driver alongside new vehicle programs and other future initiatives.

“In our view, the company is undergoing an evolution from a trailblazing vehicle OEM to a high-tech automation and robotics company with unmatched domestic manufacturing scale,” he wrote.

Benchmark noted that Tesla stock had rebounded over 50% from its April lows, driven in part by easing tariff concerns and growing momentum around autonomy. With its initial Robotaxi rollout now underway, the firm has returned to its previous $475 per share target and reaffirmed TSLA as a Benchmark Top Pick for 2025.

Advertisement
Continue Reading

Elon Musk

Tesla blacklisted by Swedish pension fund AP7 as it sells entire stake

A Swedish pension fund is offloading its Tesla holdings for good.

Published

on

tesla
(Credit: Tesla)

Tesla shares have been blacklisted by the Swedish pension fund AP7, who said earlier today that it has “verified violations of labor rights in the United States” by the automaker.

The fund ended up selling its entire stake, which was worth around $1.36 billion when it liquidated its holdings in late May. Reuters first reported on AP7’s move.

Other pension and retirement funds have relinquished some of their Tesla holdings due to CEO Elon Musk’s involvement in politics, among other reasons, and although the company’s stock has been a great contributor to growth for many funds over the past decade, these managers are not willing to see past the CEO’s right to free speech.

However, AP7 says the move is related not to Musk’s involvement in government nor his political stances. Instead, the fund said it verified several labor rights violations in the U.S.:

“AP7 has decided to blacklist Tesla due to verified violations of labor rights in the United States. Despite several years of dialogue with Tesla, including shareholder proposals in collaboration with other investors, the company has not taken sufficient measures to address the issues.”

Tesla made up about 1 percent of the AP7 Equity Fund, according to a spokesperson. This equated to roughly 13 billion crowns, but the fund’s total assets were about 1,181 billion crowns at the end of May when the Tesla stake was sold off.

Tesla has had its share of labor lawsuits over the past few years, just as any large company deals with at some point or another. There have been claims of restrictions against labor union supporters, including one that Tesla was favored by judges, as they did not want pro-union clothing in the factory. Tesla argued that loose-fitting clothing presented a safety hazard, and the courts agreed.

tesla employee

(Photo: Tesla)

There have also been claims of racism at the Fremont Factory by a former elevator contractor named Owen Diaz. He was awarded a substantial sum of $137m. However, U.S. District Judge William Orrick ruled the $137 million award was excessive, reducing it to $15 million. Diaz rejected this sum.

Another jury awarded Diaz $3.2 million. Diaz’s legal team said this payout was inadequate. He and Tesla ultimately settled for an undisclosed amount.

AP7 did not list any of the current labor violations that it cited as its reason for

Continue Reading

Trending