Today, Tesla (TSLA) has lost just over $4 billion in market value after it was announced that an accident is under yet another federal investigation and several other bad news mostly related to self-driving technology.
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The stock closed down -8.2% to $279.22 per share – one of the electric automaker’s worst one-day drops in a long time.
Tesla’s market capitalization dropped to about $47 billion.
The NASDAQ was down 3% today, which means that it’s not all on Tesla, but several announcements specifically affected the automaker today.
The day started with Waymo and Jaguar unveiling the new self-driving and all-electric I-Pace, which is not directly related to Tesla, but it’s a strong partnership that should put pressure on Tesla’s own effort to have a driverless ride-hailing service called ‘Tesla Network’.
Later in the day, Nvidia confirmed that it is suspending its self-driving testing in the wake of the Uber self-driving fatal accident:
“We are temporarily suspending the testing of our self-driving cars on public roads to learn from the Uber incident,”
The accident is putting more pressure on all companies developing self-driving technology and in the case of Nvidia, they are supplying processors for several self-driving programs, including Tesla’s.
Finally, the U.S. National Transportation Safety Board (NTSB) announced that they are sending 2 investigators to conduct a “Field Investigation” of a fatal accident involving a Tesla Model X that caught on fire in a crash.
All this news come just as the end of the first quarter of 2018 closes, after which Tesla will be announcing its delivery and production numbers for the quarter.
As we reported last week, the market will be looking at the Model 3 production, which is a make or break moment for Tesla.
The production ramp has been extremely costly for the company and they need to reach a higher production rate to start making money on the new electric vehicle.
Tesla will be confirming deliveries and production next week.