Tesla's Appeal Denied in $243 Million Autopilot Crash Verdict
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy TSLA?
Source: CNBC
- Ruling Upheld: A federal judge in Miami denied Tesla's bid to overturn a $243 million verdict, mandating compensation for a 2019 fatal Autopilot crash, highlighting the court's emphasis on the safety of autonomous driving technologies.
- Accident Details: The incident occurred in Florida when the Tesla owner lost control while using Enhanced Autopilot to retrieve a dropped phone, resulting in the death of 22-year-old Naibel Benavides and severe injuries to her boyfriend, illustrating the inherent risks associated with automated driving systems.
- Legal Consequences: The jury found Tesla partially liable last year, and Judge Bloom stated that the evidence supported this verdict, with Tesla's appeal failing to present sufficient grounds for a new trial, indicating ongoing legal challenges for the company.
- Market Impact: This ruling places additional pressure on Tesla's competitiveness in the autonomous driving market, particularly against rivals like Waymo and Apollo Go, potentially affecting investor confidence and future strategic directions.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy TSLA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on TSLA
Wall Street analysts forecast TSLA stock price to fall
30 Analyst Rating
12 Buy
11 Hold
7 Sell
Hold
Current: 411.710
Low
25.28
Averages
401.93
High
600.00
Current: 411.710
Low
25.28
Averages
401.93
High
600.00
About TSLA
Tesla, Inc. designs, develops, manufactures, sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Its segments include automotive, and energy generation and storage. The automotive segment includes the design, development, manufacturing, sales and leasing of high-performance fully electric vehicles, and sales of automotive regulatory credits. It also includes sales of used vehicles, non-warranty maintenance services and collisions, part sales, paid supercharging, insurance services revenue and retail merchandise sales. The energy generation and storage segment include the design, manufacture, installation, sales and leasing of solar energy generation and energy storage products and related services and sales of solar energy systems incentives. Its consumer vehicles include the Model 3, Y, S, X and Cybertruck. Its lithium-ion battery energy storage products include Powerwall and Megapack.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Tesla Launches Most Affordable Cybertruck at $59,990
- New Model Launch: Tesla has opened U.S. orders for its Cybertruck priced at $59,990, which, while lower than the previous $79,990 version, still exceeds CEO Elon Musk's promised starting price of $40,000 from 2019, indicating market pricing pressures.
- Performance and Features: The new Cybertruck features dual-motor all-wheel drive with an estimated range of 325 miles, standard features include a powered tonneau cover and multiple power outlets, although it sacrifices some premium elements, it still offers significant utility.
- Market Expansion Strategy: As U.S. demand cools, Tesla is expanding Cybertruck availability overseas, having opened orders in the UAE, Saudi Arabia, and Qatar, with pricing starting at 435,000 riyals (approximately $116,000) in Saudi Arabia, highlighting the potential of international markets.
- Sales Expectations and Challenges: Despite production capacity expected to exceed 250,000 units annually, current quarterly sales are only about 5,000 units, indicating demand challenges for Tesla, which may need to explore commercial applications to boost sales.
See More
Tesla Cuts Cyberbeast Price to $99,990, Discontinues Luxe Package
- Price Adjustment: Tesla has reduced the price of its most expensive Cyberbeast model from $114,990 to $99,990, aiming to attract more cost-conscious consumers and enhance sales while strengthening its market competitiveness.
- Luxe Package Discontinuation: The price cut comes with the discontinuation of the Luxe Package, which included Supervised Full Self-Driving and free access to the Supercharger network, reflecting Tesla's strategic shift towards optimizing its product offerings and cost control.
- Stable Pricing for Other Models: While the Cyberbeast price has been lowered, prices for other Cybertruck models remain unchanged, indicating Tesla's differentiated pricing strategy to cater to various consumer segments effectively.
- New Model Introduction: Earlier this month, Tesla introduced a new all-wheel drive variant of its Model Y SUV priced at $41,990, further diversifying its product line and laying the groundwork for its 2026 strategy aimed at attracting more budget-conscious buyers.
See More
US Stocks Rally as S&P 500 Hits One-Week High Following Supreme Court Ruling
- Market Recovery: The S&P 500 index rose by 0.58%, reaching a one-week high, primarily driven by the Supreme Court's ruling against Trump's global tariffs, which is expected to boost economic growth and improve market sentiment.
- Weak Economic Data: The US Q4 GDP grew at an annualized rate of only 1.4%, significantly below the expected 2.8%, indicating fragility in the economic recovery and potentially leading the Fed to adopt a more cautious approach in future rate decisions.
- Rising Inflation Pressures: The December core PCE price index increased by 3.0% year-over-year, surpassing expectations of 2.9%, which may impact the Fed's monetary policy and limit its ability to cut rates, thereby affecting market liquidity.
- Positive Earnings Outlook: Over 74% of S&P 500 companies reported earnings that exceeded expectations, with Q4 earnings growth projected at 8.4%, providing support for the market and demonstrating corporate resilience amid economic uncertainties.
See More
Tesla's Appeal Denied in $243 Million Autopilot Verdict
- Ruling Upheld: Federal Judge Beth Bloom in Miami denied Tesla's request to overturn a $243 million jury verdict, stating that the evidence presented at trial sufficiently supported the jury's decision, highlighting Tesla's liability in the 2019 fatal Autopilot crash.
- Accident Details: The incident occurred in Key Largo, Florida, resulting in the death of 22-year-old Naibel Benavides and severe injuries to her boyfriend Dillon Angulo, as Tesla owner George McGee lost control of his vehicle while using Enhanced Autopilot, accelerating through an intersection at over 60 miles per hour.
- Legal Consequences: The jury found Tesla partially responsible for the crash last year, and despite Tesla's attempts to appeal the verdict or seek a new trial, the judge ruled there was no sufficient basis for such actions, increasing Tesla's legal exposure.
- Market Impact: This ruling poses a challenge to Tesla's competitiveness in the autonomous driving market, particularly as it lags behind competitors like Alphabet's Waymo and Baidu's Apollo Go in offering commercial ride-hailing services, potentially affecting investor confidence.
See More
Disappointing Economic Data Leads to Mixed Market Reactions
- Money Flow Analysis: In early trading, money flows into Alphabet Inc Class C (NASDAQ:GOOG) are positive, while Amazon.com, Inc. (NASDAQ:AMZN) shows neutral flows, indicating a divergence in market sentiment towards tech stocks.
- Benchmark Performance: The S&P 500 ETF (SPY) and Invesco QQQ Trust Series 1 (NASDAQ:QQQ) exhibit negative money flows, reflecting investor caution regarding overall market sentiment, which could impact short-term market trends.
- Investment Strategy Advice: Investors are advised to maintain long-term quality positions while adding tactical investments based on market signals to navigate the uncertainties posed by disappointing economic data, ensuring portfolio stability.
- Bitcoin Market Dynamics: Bitcoin (CRYPTO:BTC) remains range-bound, indicating ongoing market interest in cryptocurrencies but lacking clear upward momentum, which may influence investor decision-making.
See More
Tesla's Appeal Denied in $243 Million Autopilot Crash Verdict
- Ruling Upheld: A federal judge in Miami denied Tesla's bid to overturn a $243 million verdict, mandating compensation for a 2019 fatal Autopilot crash, highlighting the court's emphasis on the safety of autonomous driving technologies.
- Accident Details: The incident occurred in Florida when the Tesla owner lost control while using Enhanced Autopilot to retrieve a dropped phone, resulting in the death of 22-year-old Naibel Benavides and severe injuries to her boyfriend, illustrating the inherent risks associated with automated driving systems.
- Legal Consequences: The jury found Tesla partially liable last year, and Judge Bloom stated that the evidence supported this verdict, with Tesla's appeal failing to present sufficient grounds for a new trial, indicating ongoing legal challenges for the company.
- Market Impact: This ruling places additional pressure on Tesla's competitiveness in the autonomous driving market, particularly against rivals like Waymo and Apollo Go, potentially affecting investor confidence and future strategic directions.
See More
Tesla Launches Most Affordable Cybertruck at $59,990
- New Model Launch: Tesla has opened U.S. orders for its Cybertruck priced at $59,990, which, while lower than the previous $79,990 version, still exceeds CEO Elon Musk's promised starting price of $40,000 from 2019, indicating market pricing pressures.
- Performance and Features: The new Cybertruck features dual-motor all-wheel drive with an estimated range of 325 miles, standard features include a powered tonneau cover and multiple power outlets, although it sacrifices some premium elements, it still offers significant utility.
- Market Expansion Strategy: As U.S. demand cools, Tesla is expanding Cybertruck availability overseas, having opened orders in the UAE, Saudi Arabia, and Qatar, with pricing starting at 435,000 riyals (approximately $116,000) in Saudi Arabia, highlighting the potential of international markets.
- Sales Expectations and Challenges: Despite production capacity expected to exceed 250,000 units annually, current quarterly sales are only about 5,000 units, indicating demand challenges for Tesla, which may need to explore commercial applications to boost sales.
See More
Tesla Cuts Cyberbeast Price to $99,990, Discontinues Luxe Package
- Price Adjustment: Tesla has reduced the price of its most expensive Cyberbeast model from $114,990 to $99,990, aiming to attract more cost-conscious consumers and enhance sales while strengthening its market competitiveness.
- Luxe Package Discontinuation: The price cut comes with the discontinuation of the Luxe Package, which included Supervised Full Self-Driving and free access to the Supercharger network, reflecting Tesla's strategic shift towards optimizing its product offerings and cost control.
- Stable Pricing for Other Models: While the Cyberbeast price has been lowered, prices for other Cybertruck models remain unchanged, indicating Tesla's differentiated pricing strategy to cater to various consumer segments effectively.
- New Model Introduction: Earlier this month, Tesla introduced a new all-wheel drive variant of its Model Y SUV priced at $41,990, further diversifying its product line and laying the groundwork for its 2026 strategy aimed at attracting more budget-conscious buyers.
See More
US Stocks Rally as S&P 500 Hits One-Week High Following Supreme Court Ruling
- Market Recovery: The S&P 500 index rose by 0.58%, reaching a one-week high, primarily driven by the Supreme Court's ruling against Trump's global tariffs, which is expected to boost economic growth and improve market sentiment.
- Weak Economic Data: The US Q4 GDP grew at an annualized rate of only 1.4%, significantly below the expected 2.8%, indicating fragility in the economic recovery and potentially leading the Fed to adopt a more cautious approach in future rate decisions.
- Rising Inflation Pressures: The December core PCE price index increased by 3.0% year-over-year, surpassing expectations of 2.9%, which may impact the Fed's monetary policy and limit its ability to cut rates, thereby affecting market liquidity.
- Positive Earnings Outlook: Over 74% of S&P 500 companies reported earnings that exceeded expectations, with Q4 earnings growth projected at 8.4%, providing support for the market and demonstrating corporate resilience amid economic uncertainties.
See More
Tesla's Appeal Denied in $243 Million Autopilot Verdict
- Ruling Upheld: Federal Judge Beth Bloom in Miami denied Tesla's request to overturn a $243 million jury verdict, stating that the evidence presented at trial sufficiently supported the jury's decision, highlighting Tesla's liability in the 2019 fatal Autopilot crash.
- Accident Details: The incident occurred in Key Largo, Florida, resulting in the death of 22-year-old Naibel Benavides and severe injuries to her boyfriend Dillon Angulo, as Tesla owner George McGee lost control of his vehicle while using Enhanced Autopilot, accelerating through an intersection at over 60 miles per hour.
- Legal Consequences: The jury found Tesla partially responsible for the crash last year, and despite Tesla's attempts to appeal the verdict or seek a new trial, the judge ruled there was no sufficient basis for such actions, increasing Tesla's legal exposure.
- Market Impact: This ruling poses a challenge to Tesla's competitiveness in the autonomous driving market, particularly as it lags behind competitors like Alphabet's Waymo and Baidu's Apollo Go in offering commercial ride-hailing services, potentially affecting investor confidence.
See More
Disappointing Economic Data Leads to Mixed Market Reactions
- Money Flow Analysis: In early trading, money flows into Alphabet Inc Class C (NASDAQ:GOOG) are positive, while Amazon.com, Inc. (NASDAQ:AMZN) shows neutral flows, indicating a divergence in market sentiment towards tech stocks.
- Benchmark Performance: The S&P 500 ETF (SPY) and Invesco QQQ Trust Series 1 (NASDAQ:QQQ) exhibit negative money flows, reflecting investor caution regarding overall market sentiment, which could impact short-term market trends.
- Investment Strategy Advice: Investors are advised to maintain long-term quality positions while adding tactical investments based on market signals to navigate the uncertainties posed by disappointing economic data, ensuring portfolio stability.
- Bitcoin Market Dynamics: Bitcoin (CRYPTO:BTC) remains range-bound, indicating ongoing market interest in cryptocurrencies but lacking clear upward momentum, which may influence investor decision-making.
See More
Tesla's Appeal Denied in $243 Million Autopilot Crash Verdict
- Ruling Upheld: A federal judge in Miami denied Tesla's bid to overturn a $243 million verdict, mandating compensation for a 2019 fatal Autopilot crash, highlighting the court's emphasis on the safety of autonomous driving technologies.
- Accident Details: The incident occurred in Florida when the Tesla owner lost control while using Enhanced Autopilot to retrieve a dropped phone, resulting in the death of 22-year-old Naibel Benavides and severe injuries to her boyfriend, illustrating the inherent risks associated with automated driving systems.
- Legal Consequences: The jury found Tesla partially liable last year, and Judge Bloom stated that the evidence supported this verdict, with Tesla's appeal failing to present sufficient grounds for a new trial, indicating ongoing legal challenges for the company.
- Market Impact: This ruling places additional pressure on Tesla's competitiveness in the autonomous driving market, particularly against rivals like Waymo and Apollo Go, potentially affecting investor confidence and future strategic directions.
See More
