Elon Musk Presents Tesla’s “Master Plan 3”

Tesla CEO Elon Musk, fresh from regaining his position as the world’s richest man, presented his “Master Plan 3” to investors. Among the topics Musk covered included how Tesla plans to scale its sales and operations, as well as how the company intends to integrate with the billionaire’s other companies, including reusable rocket maker SpaceX and tunneling venture, the Boring Company.

Tesla’s goal is to produce 20 million electric vehicles per year by 2030. The automaker manufactured 1.37 million vehicles in 2022. Tesla shares have rallied from declines during 2022 and are up more than 60% for the year so far. However, the stock dropped 1.43% on Wednesday before the event, and another 2.5% after hours during the event.

Analysts remain positive about Tesla’s market share, although cheaper electric vehicles hitting the market could dilute the automaker’s dominance over time. Currently, the lowest-priced Tesla available is the Model 3 sedan, which starts at a price point of around $43,000. Already, seven models from other automakers are currently priced below that, a sign of oncoming competition.

Traders who have stuck with Tesla stock through its down periods have been rewarded. After delivering $4.5 billion in profits to short sellers in January, the company’s 19% rise in February has helped pile on losses of short sellers who rushed to claim some of the action. Some estimates put short seller losses at $3 billion for February, the biggest short loss of the month across all major shares. In the short term, more pain can be expected for investors betting against Tesla.