Morgan Stanley considers it a 'side-show' piece.
Analysts at Morgan Stanley are now saying that the Tesla Cybertruck will not be a mass market volume seller like the 1.5 million preorders would have you assume, with it instead existing as a sort of lower volume 'side-show' vehicle. The piece, posted on Investing, also reiterated Morgan Stanley's overweight rating for the company's $220 stock price as it recommends people manage their expectations on what the truck will do for the brand.
We cannot say that these expectations have come as a surprise, as the Cybertruck has only been surpassed in hype and delay by another vehicle in Tesla's plans: the Roadster. Despite this, it's looking as if the truck is finally on track to start production this year, four years after its windows infamously took a beating in its debut.
"We feel the Cybertruck carries more value in a cultural/zeitgeist sense than in a direct economic sense," says the analysts. "At the same time, we encourage our readers to ask themselves: how many Cybertrucks can roll up to a parent-teacher conference or youth soccer match at the same time before losing some of that indescribable… something?"
It's a very good question, and one people have been asking for years now. The design of the truck is truly out there, so much so that even Tesla fanboys were struggling with ways to describe how it's yet another win in Elon's column. Still, it's hard to argue with so many preorders and the truck's truly impressive spec sheet.
Morgan Stanley says that instead of being the massive volume sellers that most trucks are to other automakers, production expectations should be lowered closer to the 50,000 range for the Cybertruck to help it keep its prestige and allure.
Throughout the vehicle's entire production process, the one consistent factor has been its general design: the thing looks practically the same as the day it was debuted. It's going to be one massive slab of stainless steel that is simultaneously futuristic, plain, and gaudy.
All of this is just opinion or speculation though, and despite all the analyzing in the world we'll just have to wait and see exactly what Tesla has in store for us. What we do know is that the company has been getting all the necessary tools in place at its Texas Gigafactory to start production of the model sometime in Q3 or Q4 of 2023.
Will it be worth it? We'll have to wait and see, but one thing's for sure: hype and Tesla go hand in hand like peanut butter and jelly.
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