Tesla Recalls 239K Vehicles & Launches New Version of Model Y

Tesla, Inc. TSLA is voluntarily recalling approximately 239,000 electric vehicles in the United States due to a malfunction in the Autopilot and Full Self-Driving computer systems, which may cause the rearview camera display to fail, per filings posted to the National Highway Traffic Safety Administration (NHTSA).In a letter to regulators, Tesla mentioned that a non-functioning rearview camera compromises the driver’s rear visibility, heightening the risk of a collision. The recall affects Tesla's 2024-2025 Model 3 and Model S sedans, as well as the 2023-2025 Model X and Model Y SUVs. The company has already deployed an over-the-air software update at no cost to address some of these camera issues.Per NHTSA, Tesla initiated 16 recalls in 2024, involving more than 5.14 million vehicles, with remedies including software updates and hardware replacements. Notably, more than 40% of these recalls involved Tesla's Cybertruck, introduced to customers in late 2023.The recent issue is attributed to a power component short circuit, linked to a previous recall from November that was largely resolved. The agency estimates that roughly 2% of the affected vehicles may experience this issue. Tesla has identified 887 warranty claims and 68 field reports. However, the company has not reported any injuries, fatalities, or crashes associated with the rearview camera failure. Customers with vehicles affected by circuit board failures or stress that could lead to such failures can have their computer systems replaced by Tesla at no cost.In another development, TSLA unveiled a redesigned Model Y in China, which features a refreshed exterior and enhanced interior, with an intent to regain market share from competitors like Xiaomi. The deliveries of the Model, priced at 263,500 yuan, 5.4% higher than its predecessor, are expected to begin in March pending regulatory approval, with orders open across several Asia Pacific markets. Key upgrades include a front and rear full-width light bar, climate-controlled seating and a second-row touchscreen. Plans for North American and European releases remain undisclosed.TSLA’s Zacks Rank & Key PicksTesla currently carries a Zacks Rank #3 (Hold).Some better-ranked stocks in the auto space are Suzuki Motor Corporation SZKMY, Geely Automobile Holdings Limited GELYY and Blue Bird Corporation BLBD, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for SZKMY’s fiscal 2025 sales and earnings suggests year-over-year growth of 2.38% and 33.77%, respectively. EPS estimates for fiscal 2025 and 2026 have improved 43 cents and 46 cents, respectively, in the past 60 days.The Zacks Consensus Estimate for GELYY’s fiscal 2025 sales and earnings suggests year-over-year growth of 66.62% and 149.31%, respectively. EPS estimates for fiscal 2025 and 2026 have improved by 15 cents and 38 cents, respectively, in the past seven days. The Zacks Consensus Estimate for BLBD’s fiscal 2025 sales and earnings suggests year-over-year growth of 10.97% and 12.14%, respectively. EPS estimates for fiscal 2025 have improved 18 cents in the past 60 days.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tesla, Inc. (TSLA): Free Stock Analysis Report Geely Automobile Holdings Ltd. (GELYY): Free Stock Analysis Report Blue Bird Corporation (BLBD): Free Stock Analysis Report Suzuki Motor (SZKMY): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks