TSLA - Is it a good sign of healthy demand？
$Tesla Motors(TSLA)$ 's China sales bounced back almost 200% in March to 78,828 units vs. Feb after last month's production halt due to new Model Y preparations. Year-on-year sales fell 11.5%.
Weekly insurance registrations jumped to 20,700 in the week ending March 30. That's about where Tesla needs it to be to be consistent with its large number of preorders/reservations for the new Model Y.
Let's see how these new registrations hold up in the coming weeks. If it stays consistently above 20k, it's a good sign of healthy demand even in the face of strong competition from $BYD Co., Ltd.(BYDDY)$ $Xiaomi Corp.(XIACY)$ $NIO Inc.(NIO)$ $XPeng Inc.(XPEV)$ $Li Auto(LI)$ and others.
This could very well be the blessing in disguise for TSLA which is now up 5% after Trump suggests Elon’s departure from DOGE soon. But if you think this means good times are back for the company, think again.
It all depends on how fast Elon can show the market how he’s laser focused on returning Tesla to growth and improve profitability. Getting to the top is hard. Staying there is vicious.
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