00:00As the war in Iran started driving up gas prices, experts were predicting an electric vehicle boom.
00:05So why is Tesla having one of its worst quarters in years?
00:08Here's what's happening.
00:10So Tesla just posted 358,000 deliveries this quarter, meaning that's how many cars made it to customers.
00:16Down 14% from last quarter, missing Wall Street's expectations and sending the shares down 3%.
00:22On top of that, Tesla built 50,000 more cars than it actually sold.
00:26That right there is a demand problem, making it now two straight years of declining sales for Tesla.
00:32This is all happening while gas prices just jumped nearly a dollar a gallon because of the war in Iran.
00:38Analysts are saying that $4 gas is usually the tipping point for EV shopping, and Google searches for electric cars
00:43are already up 20%.
00:45So the interest is there, Tesla isn't capturing it.
00:49Why?
00:49Well, there are two things that analysts are pointing to.
00:52Stiff competitions from brands like BYD, and remaining backlash tied to Elon Musk's political involvement.
00:58Another thing to think about, EV interest may be rising, but that only converts to sales if gas prices stay
01:04high.
01:05So is this a Tesla problem, or a bigger EV problem?
01:08Drop your take in the comments, check out our website, and follow us here for more.
Comments