If Tesla was truly a story about actual economics – you know, things like demand and production – we might expect the fact that registrations are plunging to have an effect on the company’s stock price.
But, as it goes, the company’s stock is and has been wholly disconnected from reality, which is why at the stock sits currently with a $700 handle, we’re certain it won’t be phased by the fact that registrations have plunged in top European markets.
For instance, Tesla recorded only 83 new cars in Norway last month, comparing to 1,016 vehicles last year. In the Netherlands, registrations also plunged, down 68% to 155 units, according to Bloomberg.
It is not a good look for Tesla, as these are two of the only four countries that Tesla breaks out revenue for on a quarterly basis. For the first two months of the year (and first 66% of the first quarter), registrations were down 77% and 42% in Norway and the Netherlands – and that was against easy comps. The Model 3 was only just starting to get underway with sales in early 2019.