The market was not impressed by Tesla Motors Inc TSLA 0.8% CEO Elon Musk’s “Master Plan Part 2,” which was unveiled on Wednesday. Tesla’s stock is down 2.8 percent so far on Thursday, and Musk’s presentation has been widely-criticized for lack of financial details.
Deutsche Bank analyst Rod Lache breaks down Musk’s plan into four pillars:
- 1. Creating an integrated solar energy and battery storage product (in conjunction withSolarCity Corp SCTY 0.19%)
- 2. Expanding Tesla’s vehicle offerings to include a compact SUV, a pickup truck, a bus and a heavy-duty truck
- 3. Developing, validating and achieving regulatory approval for fully autonomous vehicles
- 4. Applying autonomous vehicles in innovative ways, such as the creation of ride sharing fleets
While the big picture is certainly impressive, Lache shares the market’s concerns.
“The document is relatively short on details, and it does not contain any economic or financial objectives (these will be needed eventually, as capital markets will be called upon to provide a key ‘material’ for the execution of this plan),” Lache explains.
Deutsche Bank notes…
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