2nd qtr results link with Q and A

[n8236]

it seems the market believes in the company. The stock is only down 10% after this negative earnings report and significant guidance reduction. And that 10% is pretty much loss of gains from the prior week.

Only down 10%

Love or hate Elon, you have to admit that this was funny!View attachment 3889

gott admit the burn was pretty good whether you’re a Lucid fan or not.

 

[HC_79]

Love or hate Elon, you have to admit that this was funny!View attachment 3889

Yeah I saw this and as much as I can’t stand the guy it did make me laugh.

 

[joec]

Yeah I saw this and as much as I can’t stand the guy it did make me laugh.

It’s rare for mega billionaires to have any sense of humor, let alone a sense of humor about themselves. Have to tip my hat to him on that one.

 

[Bunnylebowski]

It’s rare for mega billionaires to have any sense of humor, let alone a sense of humor about themselves. Have to tip my hat to him on that one.

Yeah I laughed at first too, then realized he’s essentially joking about leaving babies all over the place and being an absentee dad and using that to trash his competitor. He thinks he’s a pimp but he’s a douche.

 

[Overcharged]

We may not like the guy but he did move eCars from pretty much third rate to first in mind.

Musky is also very competitive, jabbing the other guy when he is down is pretty normal (not classy but often seen).

And he has been where Petey is, and has said scaling up volume is one of the hardest things to do. In Tesla's case they kind of said, our fan boi customers will accept cars with the bumper falling off in the rain and mismatched door cards and maybe one without a brake pad on one wheel for the sake of exceeding delivery volume targets.

Right now Petey has to build brand perception for a luxury good, so putting out reworked reject cars like the one Chicago Auto Pros blasted is the last thing he wants. I am planning to ask one of the folks from that shop to come with me when I take delivery.

 

[Steveinarizona]

That's actually hilarious!

Yes but sad at the same time. I think Elon is worried that all the new BEVs will eat into his sales. he should be. His arrogance has cost hiim a lot of sales. When Tesla was the only kid on the block, it could do whatever it wanted (e.g., no binnacle display; bad fit and finish; the yoke; etc.) but now there is competition and Lucid is the primary competitor in the performance with range space.

 

[joec]

Yes but sad at the same time. I think Elon is worried that all the new BEVs will eat into his sales. he should be. His arrogance has cost hiim a lot of sales. When Tesla was the only kid on the block, it could do whatever it wanted (e.g., no binnacle display; bad fit and finish; the yoke; etc.) but now there is competition and Lucid is the primary competitor in the performance with range space.

No doubt, every time he opens his mouth about Lucid, he reveals he's actually a little worried.

When all the mainstream auto manufacturers started introducing EVs, all he had to say was that he'd always wanted to drive everyone to make more EVs. But then Lucid comes in and embarrasses him on efficiency and range, he tries to counter with a longer-range S and fails, and ever since he takes jabs at them whenever he can. The guy is not hard to read.

 

[Maverick]

No doubt, every time he opens his mouth about Lucid, he reveals he's actually a little worried.

When all the mainstream auto manufacturers started introducing EVs, all he had to say was that he'd always wanted to drive everyone to make more EVs. But then Lucid comes in and embarrasses him on efficiency and range, he tries to counter with a longer-range S and fails, and ever since he takes jabs at them whenever he can. The guy is not hard to read.

I'm sure he is worried. With everyone getting into the game, there has to be massive dilution of his market share over the next several years. Having said that, the guy has a great sense of humor.

 

[limtless]

it seems the market believes in the company. The stock is only down 10% after this negative earnings report and significant guidance reduction. And that 10% is pretty much loss of gains from the prior week.

I think the Sears CEO said the same thing in the 90s. Short-term vision and hope is not a strategy Lucid should be having. If they don't make enough cars how do they make money and pay bills?

 

[HC_79]

I think questions will start to be asked if Lucid fails to deliver on the revised numbers. You can't cut your forecast in half and then half again and not deliver on that revised forecast. It will show it's not just "supply chain" but a clear management problem as well. Peter can focus on quality all he wants but if he wants 100% before letting cars out the gate then the guy is dreaming and they'll never meet their delivery numbers. Getting to 80 - 90% is easy, the last 10 - 20% can take twice as long. Sometimes you just need to get things out and fix them later.

 

[Overcharged]

We all know they have to get some volume of the Air to be credible and then they have to add vehicles that consumers will be excited about owning and then do a good job building those and they have to get their customer service ship to a better place.

I really do agree with Petey that the cars exiting the plant have to be really good.

Having him right there in AZ does a few things.

Establishes the point to the folks who manage the site, build and assess the cars he means it when he talks about Quality.

He can see what they are seeing and dealing with in real time.

He is more likely to make the decisions required to make things better, faster than if he had to wait for the summary info to bubble up to him after multiple filters are applied.

 

[DBV]

No doubt, every time he opens his mouth about Lucid, he reveals he's actually a little worried.

When all the mainstream auto manufacturers started introducing EVs, all he had to say was that he'd always wanted to drive everyone to make more EVs. But then Lucid comes in and embarrasses him on efficiency and range, he tries to counter with a longer-range S and fails, and ever since he takes jabs at them whenever he can. The guy is not hard to read.

Not sure how he failed with the Model S refresh? He convinced me to finally buy an EV, since it was over 400 estimated range. I think it is a great car and love it and this is coming from someone that always drives Euro cars, like BMW/Mercedes, etc.

I give Tesla/Elon much credit as, they are the first American manufacturer to really make it since the Big 3 and are the industry leader in the EV. Everyone compares their EV’s Tesla. That tells you something. Very hard for start ups to make it in the auto industry.

 

[joec]

Not sure how he failed with the Model S refresh? He convinced me to finally buy an EV, since it was over 400 estimated range. I think it is a great car and love it and this is coming from someone that always drives Euro cars, like BMW/Mercedes, etc.

I give Tesla/Elon much credit as, they are the first American manufacturer to really make it since the Big 3 and are the industry leader in the EV. Everyone compares their EV’s Tesla. That tells you something. Very hard for start ups to make it in the auto industry.

I was referring to the specific claim that they would release a Model S Plaid+ with 520 miles of range, right after Lucid claimed 516 on the Air Dream. That model never materialized.

Tesla cancels Model S Plaid+ ahead of event: What about 520+ miles of range?

Tesla CEO Elon Musk has announced the cancellation of the Plaid+ version of the Model S due to go more than 500 miles on a charge.

www.greencarreports.com

His claim at the time was that the Plaid was "just so good" at 400 miles that no one would actually want the Plaid+. In reality, they couldn't pull it off.

I agree, Tesla deserves tons of credit for turning the world on to EVs. I'm just pointing out that Elon is clearly more concerned about Lucid than other competitors. And I understand why.

Regardless of whether Lucid makes it or not, they bested him technologically. And that sticks in his craw, I think.

 

[HC_79]

Not sure how he failed with the Model S refresh? He convinced me to finally buy an EV, since it was over 400 estimated range. I think it is a great car and love it and this is coming from someone that always drives Euro cars, like BMW/Mercedes, etc.

I give Tesla/Elon much credit as, they are the first American manufacturer to really make it since the Big 3 and are the industry leader in the EV. Everyone compares their EV’s Tesla. That tells you something. Very hard for start ups to make it in the auto industry.

Given what Tesla has been able to achieve in 10 years has been remarkable and they should be praised for it. The stamping process of the frame alone from day 1 to today is impressive. They've done something in 10 years of iterations to reduce costs, speed up processes etc that the traditional dinosaur automakers just accepted as "it is what it is"

It's the same when it comes to the EV space. The dinosaurs aren't competitive at all. They're not making efficient EV's and are really struggling to transition into tech companies. They've got decades of manufacturing experience yet they still do things like it's the good old days. You just need to see how quickly Tesla can pivot vs its competitors to show you how outdated the traditional automakers are.

This is where companies like Lucid, Rivian, Fisker etc. can succeed. They can remain nimble, put technology at the forefront and in turn use the technical expertise to be smart about how you build and manufacture cars. This is the advantage they have to take on the big boys because the big boys just can't seem to figure out how to pivot quickly. I'd rather put my money on Tesla, Lucid, Rivian, etc. to succeed then support a dinosaur model that takes 10 years to deliver anything meaningful.

 

[hydbob]

I think questions will start to be asked if Lucid fails to deliver on the revised numbers. You can't cut your forecast in half and then half again and not deliver on that revised forecast. It will show it's not just "supply chain" but a clear management problem as well. Peter can focus on quality all he wants but if he wants 100% before letting cars out the gate then the guy is dreaming and they'll never meet their delivery numbers. Getting to 80 - 90% is easy, the last 10 - 20% can take twice as long. Sometimes you just need to get things out and fix them later.

No, they don't. That's exactly what was happening earlier that got cars stuck in PDI and negative press about repairs and quality a few months ago. They need to inspect that crap at the factory like they are doing and tweak the lines as they discover issues BEFORE shipping out. The way they are doing it now is how it should have been done from the beginning.

 

[Tesla2.0]

I understand AGT has many component parts that is exotic and not necessarily great to be efficiently assembled on top of supply-chain bottleneck.

I honestly think Peter should start thinking about concurrency process soon instead of linear dependencies process out. EFFICIENCY! EFFICIENCY! QUALITY! QUALITY! Retail shareholders are not happy with the rhetoric and the actual production performance to guidance number, the number gap is so wide, it make it seems like huge misrepresentation for class action lawsuit leech lawyers.

STOP LUCID DREAMING! Start get 2nd and 3rd shifts out ASAP and push out the least components parts out of PURE trim. The number matters!!! Especially to Wall Street or later funding round. Please DO NOT laugh at Rivian selling their trucks at price lower than their cost for massive batteries. The profit losing cause can translate to higher brand awareness to bring more overall value than just keep building up galleries around countries where people don’t even believe this car exist. If Peter is going to keep being perfectionist dreamer, and number doesn’t even improve drastically in 2H, the company may be well just get taken over by competitor or turn into private by Saudi. That competitor won’t be Tesla. Tesla rather see this car go into dumpster of fire, that is Elon’s insecurity. He dared to taunt F150 in tug of war race, he wouldn’t dare to challenge Lucid Air Performance to add 3rd motor to have real race with Plaid Tri-motors.

 

[n8236]

Peter’s between a rock and a hard place.

Meet EBIDTA by producing the most $ model yet having to meet production standards. All this while fighting external factors not under your control.

i don’t envy this.

 

[Steveinarizona]

"It's the same when it comes to the EV space. The dinosaurs aren't competitive at all. They're not making efficient EV's and are really struggling to transition into tech companies. They've got decades of manufacturing experience yet they still do things like it's the good old days. You just need to see how quickly Tesla can pivot vs its competitors to show you how outdated the traditional automakers are."

Actually, Mercedes and BMW have done a pretty good job of building efficient EVs (EQS and IX). Unfortunately, in the process they made them ugly.

 

[Overcharged]

I think BYD is the likely player to give Musky fits near term.

The Han looks like a solid offering and is backed by a billionaire from Omaha with a sense of humor.

BYD’s Flagship Han EV Series Officially Goes on Sale - BYD USA

BYD announced the official launch of its Han EV series, the brand’s long-awaited flagship offering for the global mid-to-large luxury sedan market, including three pure electric models and one hybrid model. The Han EV will be sold in China at first. Its extended-range version will sell at...

en.byd.com

I wonder when the US will see this.

At some point Musky's dictatorial approach to use cheapo sub-Corolla interiors is going to bit him hard.

 

[LCIDdreams]

Given what Tesla has been able to achieve in 10 years has been remarkable and they should be praised for it. The stamping process of the frame alone from day 1 to today is impressive. They've done something in 10 years of iterations to reduce costs, speed up processes etc that the traditional dinosaur automakers just accepted as "it is what it is"

It's the same when it comes to the EV space. The dinosaurs aren't competitive at all. They're not making efficient EV's and are really struggling to transition into tech companies. They've got decades of manufacturing experience yet they still do things like it's the good old days. You just need to see how quickly Tesla can pivot vs its competitors to show you how outdated the traditional automakers are.

This is where companies like Lucid, Rivian, Fisker etc. can succeed. They can remain nimble, put technology at the forefront and in turn use the technical expertise to be smart about how you build and manufacture cars. This is the advantage they have to take on the big boys because the big boys just can't seem to figure out how to pivot quickly. I'd rather put my money on Tesla, Lucid, Rivian, etc. to succeed then support a dinosaur model that takes 10 years to deliver anything meaningful.

I can’t see Lucid, Rivian, and Tesla starting to go down in market share anytime this decade (short of bankruptcy at least). It is the existing automakers, with a very few exceptions, that are seeing, and will continue to see their market share drop, losing sales to the new companies (which also include BYD and Nio). Ford and GM sales, as an example, have been declining since 2016… at this point down almost 40% from those peaks.

Looking at EV market share in isolation is fairly irrelevant- EVs are now competing with all cars regardless of propulsion system, so the market is all cars.