Shares in Tesla have fallen drastically following suggestions that the company may take a long time to become profitable. Tesla’s least pricey car, to make the Palo Alto, California company profitable and establish it as the leading electric carmaker ahead of BMW (BMWG.DE), General Motors (GM.N) and other long-established players. “Achievements to-date and vision are impressive, but we don’t think Model 3 ’s vertically integrated business model can be scaled up as profitably and quickly as consensus thinks and valuation multiples imply”, said Houchois , analyst at global investment bank Jefferies. Company shares fell 2.17 percent to $ 280 following the statement, after a record high at closing the day before .
Shares in Tesla have fallen drastically following suggestions that the company may take a long time to become profitable. “Achievements to-date and vision are impressive, but we don’t think Model 3 ’s vertically integrated business model can be scaled up as profitably and quickly as consensus thinks and valuation multiples imply”, said Houchois , analyst at global investment bank Jefferies. Company shares fell 2.17 percent to $ 280 following the statement, after a record high at closing the day before .