Tesla Model 3 deliveries delayed, raising tax credit fears

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Tuesday's launch of the world's most powerful Falcon Heavy rocket, inspired and designed by SpaceX' billionaire Elon Musk couldn't have gone unnoticed in China, which is making huge leaps forward in the technological sphere. However compared to its fossil fuel rivals, the electric vehicle company actually produces very few autos and has faced severe delays in production of the company's Model 3, its first battery-powered vehicle for the mass-market.

"Elon Musk made a decision to send his red Tesla sports auto into orbit, complete with a space-suited mannequin in the driver's seat and David Bowie's 1969 hit 'Space Oddity" playing on a loop on the stereo.

Tesla Inc. posted a record quarterly net loss of $675 million in the fourth quarter, up from a net loss of $121 million in the same period a year ago.

Tesla lost $1.96 billion for the full year, almost three times its loss of $675 million in 2016.

"My bad @Tesla Model 3 news finally came, friends".

Speaking on an earnings call, Elon Musk said he expects Tesla to be profitable by the stringent Generally Accepted Accounting Principles this year. Annual revenue increased 68 percent to $11.8 billion. Late Tuesday, Musk said the final firing of the rocket's upper stage put his auto on a more distant trajectory than anticipated. Musk is CEO of both, and one day after the triumphant liftoff at the Kennedy Space Center's old Apollo pad, he was on a conference call with Wall Street analysts to explain how Tesla managed to lose the most money in its history in 2017. But it fell woefully short on the Model 3, which went into production in July.

"If we can send a Roadster to the asteroid belt, we can probably solve Model 3 production". NASA's version is expected to cost more than 10 times as much. And as you've seen in the letter, the quarter-over-quarter production of Model 3 is rising exponentially. The errors in the third booster and in the car's trajectory will be studied, and I have no doubt that they will be corrected for future launches.As is often the case, it only takes one visionary, diligent and determined person to make the impossible - in this case Musk and his dream of landing men on Mars - appear possible.

At Tesla, Musk has announced plans for an electric semi- truck, boosted production of batteries for its electric cars and for other uses and has expanded its network of charging stations. Still, Musk said he is "cautiously optimistic" that Tesla will be profitable this year.

UBS analyst Colin Langan maintained a sell rating on Tesla and price target of 190.

As McCaffrey suggested, delayed delivery could mean a loss of the full tax credit for customers if Tesla hits 200,000 vehicles before they get their cars.

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