Investor Ross Gerber has condemned Tesla’s decision to wind down production of the premium Model S and Model X vehicles. Gerber, a well-known investor, expressed his disappointment on social media, stating that the company is spending money to discontinue the production line of the “best EV ever made.”
The Best EV Ever Made
Gerber quoted a post by influencer Sawyer Merritt, which shared details about the Model S ‘Signature’ edition. Gerber’s criticism stems from the fact that Tesla is shifting its focus towards robots, specifically the Optimus Humanoid Robot, instead of continuing to produce its highly-regarded electric vehicles.
Elon Musk on Optimus V3 and Unsupervised FSD
Elon Musk recently shared that the unveiling of the Optimus Humanoid robot would be closer to its production timeline of July and August. Musk also mentioned that cars equipped with the Hardware 3 (HW3) chip would not be able to achieve Unsupervised Full Self-Driving (FSD). However, Musk suggested that Tesla could offer to change the HW3 cars’ chips to HW4 and upgrade the cameras.
TSLA Valuation
Investor Gary Black of The Future Fund LLC expects Tesla’s valuation to decline following a slowdown in its self-driving progress. Black also shared that Tesla’s $25 billion Capital Expenditure was expected, given its pivot towards Robotics.
Price Action
TSLA declined 3.56% to $373.72 at market close on Thursday, further declining 0.14% to $373.18 during overnight trading. According to rankings, Tesla offers satisfactory Momentum, but poor Value, with a favorable price trend in the Long term.
Key Points
- Tesla is discontinuing production of the Model S and Model X vehicles
- Investor Ross Gerber has criticized the decision, calling the Model S the “best EV ever made”
- Elon Musk has shared updates on the Optimus Humanoid Robot and Unsupervised FSD
- Tesla’s valuation is expected to decline due to a slowdown in self-driving progress
- TSLA’s price has declined in recent trading, with a favorable long-term price trend