Tesla's financial report is poor, and its market value has significantly declined. Is Elon Musk still trustworthy in the future?

Tesla's Q2 2024 financial report showed a 45% decline in net profit, with sales falling for two consecutive quarters year-over-year. Despite Elon Musk mentioning that FSD is expected to enter the Chinese and European markets, the stock price still plummeted by 12%, with the market capitalization evaporating by over $100 billion.

Tesla's vehicle gross margin dropped from 30% to 14.6%, primarily due to price wars and slow product iteration. In the Chinese market, prices for the Model 3 and Model Y were reduced, facing competition from domestically produced new cars in terms of comfort and intelligence.

Musk is pressuring the battery team to resolve technical issues with the 4680 battery to facilitate the mass production of new models. In the autonomous driving business, FSD technology is leading, but commercialization challenges are significant. The Robotaxi business has been postponed due to technical details and operational issues.

Tesla's challenge lies in balancing technological innovation with market competition, ensuring a leading position in new businesses such as autonomous driving. Musk's vision is to have Tesla owners participate in a shared Robotaxi model, but the realization is difficult.