Elon Musk Confirms Texas Still On The Cards For New Cybertruck Factory - Yahoo Finance

Tesla (TSLA) CEO Elon Musk has revealed that Texas is a potential option for the company’s new Cybertruck factory- nicknamed ‘the Cybertruck Gigafactory’- following a grilling by the Twittersphere on Saturday.

He also described the company’s California, Fremont factory as ‘at max capacity.’ The Fremont factory is currently in shutdown but should resume normal operations on May 4 following the expiration of the area’s stay-at-home directive.

“Not saying new Giga will be in Texas, but Cybertruck will be produced there wherever it is, as Fremont is at max capacity” Musk told Twitter- a comment which earned him over 1,000 likes. He separately confirmed that an Austin-based ‘Giga Texas’ is an option for the company.

Musk also clarified that the factory would produce both Cybertrucks and Model Y vehicles, adding “Needs to be more than halfway to east coast.”

With multiple states and regions offering various incentives in their factory bids, Musk wrote “Incentives play a role, but so do logistics costs, access to a large workforce with a wide range of talents, and quality of life.”

Tesla’s highly anticipated new electric pickup truck, the Cybertruck, is slated to hit the market in 2021. It will retail from $40,000 with three versions initially on offer- the single motor, dual motor and tri motor.

“The powerful drivetrain and low center of gravity provides extraordinary traction control and torque—enabling acceleration from 0-60 mph in as little as 2.9 seconds and up to 500 miles of range” says Tesla.

With shares exploding 73% year-to-date, TSLA currently scores a Hold analyst consensus with a $518 average price target- indicating downside potential of over 25%. (See Tesla stock analysis on TipRanks).

“Tesla makes the best cars in the world. But it still sells cars, and we believe is not immune to downward revisions to economic growth” writes Morgan Stanley analyst Adam Jonas. He reiterated his Hold rating on the stock on April 23 with a $440 price target- indicating shares could pull back almost 40%.