Tesla (NASDAQ: TSLA) China-made vehicles seem to be grabbing attention yet again, after the numbers on vehicles sold just came out on August 9. In short, the electric vehicle (EV) manufacturer sold 28,217 China-made vehicles in July, representing a 64% decline compared to the numbers the company put out in June.
Apparently, weaker production figures were caused by upgrades made to the production line. Further, out of the 28,217 vehicles, 19,756 were exported while the remaining 8,461 were delivered to local customers; notably, models 3 and Y are the ones being produced in China.
On the whole, Tesla China’s cumulative wholesales were 322,974 units, an increase of 65.87% compared to the same period last year when the EV giant sold 194,711.
TSLA shares remain pretty much unmoved in premarket trading, in the red by 0.37% at the time of writing.
TSLA chart and analysis
Both the short-term and long-term trends are positive, with TSLA being one of the better performers in the automobile industry. In the last month, TSLA has been trading in the $675.10 to $940.82 range.
According to the technical analysis, the support zone is between $864.50 and $871.26, meanwhile, the resistance is at $891.46. Although TSLA has an excellent technical rating, the quality of the presented setup is not ideal at the moment for traders looking to make an entry.
TipRanks analysts rate the shares as a moderate buy, seeing the average price in the next 12 months reaching $876.24, 0.57% higher than the current trading price of $871.27.
With Tesla’s Shanghai factory possessing a production capacity of 750,000 units per year, it is clear that it hasn’t reached its full potential yet. In contrast, China-made vehicle sales in May offered a boost to the stock, possibly showcasing the maximum output of the factory.
Tesla enthusiasts should keep an eye on the next month’s China-made vehicles to ensure that a negative trend is not forming.
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Source: https://finbold.com/tesla-sells-64-less-china-made-vehicles-in-july-tsla-unmoved/