Hyperdrive
Elon Musk Denies Report Tesla Is Scrapping Less-Expensive Car
- Shares fell 6.2% after Reuters said project had been canceled
- Stock pared decline after CEO responded on social media
Chief Executive Officer Elon Musk first teased a $25,000 electric vehicle in 2020.
Photographer: David Paul Morris/BloombergTesla Inc. shares pared a steep drop in intraday trading after Chief Executive Officer Elon Musk denied a report saying the carmaker had called off plans for a less-expensive vehicle.
The stock fell as much as 6.2% on Friday after Reuters said Tesla had canceled the project, citing anonymous sources and company messages it had reviewed. Shares were down 1.3% as of 1 p.m. Friday in New York.