Is the Race for Electric Vehicle Supremacy Heating Up?

In the immortal words of ‘The Wire’s’ Omar Little, “you come at the king, you best not miss.” 

And with numerous recent electric vehicle (EV) startups now struggling following blockbuster market debuts, maybe they’re beginning to realize that getting to the top isn’t as easy as it seems.

Challengers to the throne?

Tesla (NASDAQ: TSLA) has reigned supreme over the EV space for years now. A focus on product and innovation in a once overlooked segment of the motor industry has propelled it to the top. Tesla’s roaring success, coupled with a global shift towards sustainable motoring, has led to a sharp rise in companies looking to get in on the action.

Last year saw two companies debut amid much fanfare — Lucid Motors (NASDAQ: LCID) and Rivian (NASDAQ: RIVN). Both companies were dubbed “Tesla-killers,” and now with the capital needed to scale rapidly, they looked to take on the industry leader.

Unfortunately, it hasn’t quite gone to plan so far.

Lucid reported losses of $2.6 billion for the year in its Q4 earnings report this week. Even more worryingly, the firm lowered production targets, sending its stock into a tailspin. Supply chain issues were once again the obligatory scapegoat, but this wasn’t enough to prevent the company’s shares from slumping more than 11% since Monday.

Not to be left out, Rivian reported its own woes on Wednesday. An attempted $12,000 price hike of its electric truck was met with much ire from customers. Investors followed suit by selling off. Despite the company now backtracking, that still wasn’t enough to stop an almost 20% drop in its share price.

For all its faults, Tesla is still scaling at a pace these companies can only dream of. While Lucid and Rivian certainly offer tremendous growth value, neither of them looks set to capture Tesla’s throne.

Market AnalysisLucid MotorsRivianTesla
Pádraig BolgerPádraig Bolger
  • Pádraig Bolger
  • Financial Writer at MyWallSt

  • Pádraig’s favorite stock is Nike. Growing up as a sports fanatic, seeing Nike collaborate with athletes like Jordan, Lebron, and Ronaldo inspired him and cemented the brand in his mind. Now, despite having failed miserably in his attempts to earn a fabled Nike sponsorship, he still believes in the innovation and creativity behind Nike and is convinced they will only grow stronger as the world’s leading sports brand.

Read More

Why is Tesla Choosing Right Now to Split Its Stock?Why is Tesla Choosing Right Now to Split Its Stock?

When is Tesla Going To Split Its Stock?

The announcement of a planned stock split sent Tesla shares soaring yesterday, but why is the company looking to do this right now?

Market Analysis
Pádraig BolgerPádraig Bolger
  • Pádraig Bolger
  • Apr 25, 2022

Tesla Shares Pop 5% Following Stock Split PlansTesla Shares Pop 5% Following Stock Split Plans

Tesla Q1 likely to be robust despite headwinds

Tesla’s share price has been on a rollercoaster. Hit by CEO Elon Musk’s offer to buy Twitter, rising inflation and increased material costs, it’s been sustained by a good Q4, increased production at its gigafactories and a potential move into robotaxis.

Market Analysis
  • Opto
  • Apr 20, 2022

Why Has Tesla Stock Dipped Today?Why Has Tesla Stock Dipped Today?

Why Has Tesla Stock Dipped Today?

Elon Musk’s bold offer to purchase Twitter has sent shockwaves through his existing company, but should you be thinking about selling?

Market Analysis
Pádraig BolgerPádraig Bolger
  • Pádraig Bolger
  • Apr 15, 2022

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button