Tesla Inc (NASDAQ:TSLA)’s fourth quarter 2023 electric vehicle (EV) deliveries totaled 484,500, edging past company expectations of 480,500, while deliveries at Rivian Automotive Inc (NASDAQ:RIVN) during the period fell about 10% sequentially, which was in line with estimates.
In an update to clients, UBS analysts noted the sequential delivery decline was likely driven by Rivian’s EDV (van) product even as 4Q production of 17,541 vehicles top estimates by about 21%.
"Recall, management indicated that Amazon limits intake of new commercial vans during peak holiday delivery period and so as such they expected a more significant gap between production and deliveries in 4Q relative to prior periods," the analysts wrote.
They believe the shortfall is driven by van seasonality and that consumer vehicles are likely to continue to show quarter-over-quarter progress.
As for Tesla, analysts at UBS stated the focus will shift to its earnings in January, with the company’s Cybertruck likely to weigh on margins.
Additional focus will be on Tesla's industry demand views, Full Self-Driving (FSD) updates and new product roadmap, they added.
Shares of Tesla fell 4% to close at $238.45 on Wednesday, while Rivian shares ended 3.7% lower at $20.32.