Shares of electric vehicle makers closed the week ending Sept.1 mostly higher, drawing inspiration from the broader market, which rallied on the back of some soft economic data. EV market leader Tesla, Inc. (NASDAQ: TSLA) experienced some volatility this week as fears of further price cuts weighed down on the stock.
The week saw Tesla discounting prices of inventory Model 3 vehicles in the U.S. and Canada as well as lowering configurator prices of Model S and Model X vehicles in the U.S. “The Model S and Model X price cuts were steep, ranging from 15% to 18.8%,” said Benzinga. “This triggered negative reactions from the Tesla community, investors, as well as analysts.”
The company has now offered all color options free of cost to customers and pulled the plug on the standard range options of the two EVs. The subscription pricing of the full self-driving software was lowered from $15,000 to $12,000.
Tesla timed the Model S and Model X price cuts in the U.S. to coincide with the launch of the Model 3 refresh in Asia and Europe. Analysts and fans were divided over whether the improved features justified the incremental pricing of the refreshed vehicle.
The stock ended the week at $254.01, down 5.06% on Friday, according to Zenger News Pro data, as traders reacted to the price cuts and Model 3 refresh launch.
Fisker Amid Newsflow: Fisker announced additional details of its affordable PEAR EV priced at $29,999. The PEAR will be built in collaboration with Hon Hai Precision Manufacturing Co. Ltd. (OTC: HNHPF) in Ohio. “The EV will feature a unique Houdini trunk that enables owners to load and unload in tight parking situations and to avoid damage in parking structures with low ceilings,” said Fisker. Fisker expects manufacturing and deliveries to commence in July 2025.
The company also announced that it has commenced operations in three more European markets, namely Belgium, the Netherlands, and Switzerland. Sales in these countries will begin in September, it said.
Chinese EV Trio’s Strong August: The Chinese EV trio of Nio, Inc. (NYSE: NIO), XPeng, Inc. (NYSE: XPEV), and Li Auto, Inc. (NASDAQ: LI) reported monthly sales. Li Auto led the pack by clocking record deliveries of 34,014 EVs in August, while Nio’s deliveries came in at 19,329 units, slightly down from July’s 20,462 units. XPeng, which has been struggling recently to push sales, sold 13,690 EVs in August, up from 11,008 units in July.
VinFast Plunges Hard After Strong Start: After a run-up to the $90-level at the start of the week, Vietnamese EV startup VinFast Auto Ltd.’s (NASDAQ: VFS) shares came down from the stratospheric level over the course of the week. The startup, which has yet to establish its credentials as a credible EV marker, has seen its stock rally hard since its public listing through the SPAC route, with the upside attributable mainly to the scarce supply of the stock.
At one point, VinFast’s stock rally took its market cap past several legacy automakers to the number three slot after Tesla and Toyota. Analysts have been calling out the stock’s strength as irrational exuberance and warned of a collapse in stock price.
Canoo Names New CFO: Lifestyle EV manufacturer Canoo, Inc. (NASDAQ: GOEV) said Greg Ethridge will take over from Ken Manget as CFO, with immediate effect. This would mean a very short stint for Manget, who took over the position only in January. Canoo is among the EV upstarts that are struggling to transition successfully into the commercial stage.
EV Stock Performances for The Week: Weekly Change
Li Auto +7.82%
Workhorse Group, Inc. (NASDAQ: WKHS) +1.42%
Lordstown Motor Corp. (OTC: RIDEQ) +10.69%
Hyzon Motors, Inc. (NASDAQ: HYZN) +2.40%
Rivian Automotive, Inc. (NASDAQ: RIVN) +16.14%
Lucid Group, Inc. (NASDAQ: LCID) +5.65%
Faraday Future Intelligent Electric, Inc. (NASDAQ: FFIE) -41.83%
Arrival (NASDAQ: ARVL) +1.27%
Nikola Corp. (NASDAQ: NKLA) -9.92%
Produced in association with Benzinga
Edited by Priscilla Jepchumba and Newsdesk Manager