On Wednesday afternoon, Tesla held its fourth-quarter earnings call and offered a road map for the year ahead. On Thursday, the market capitalization of Elon Musk’s electric car company lost over $100 billion. So what catastrophe did Musk disclose on that call?
On the contrary, the Tesla CEO had some of the best news about the company, at least from a financial standpoint, in its entire lifetime. The EV maker delivered close to a million vehicles last year, an 87% increase from 2020, despite supply chain issues that walloped other automakers. But more than that, Musk noted, “[Tesla’s] accumulated profitability since the inception of the company became positive, which I think makes us a real company.” Shouldn’t investors be happy that Tesla isn’t simply bleeding money anymore?