Manufacturing activity in China beats expectations, Tesla hosts its investor day in Austin, Texas, and more. Here’s what investors need to know today.
1. Tesla Hosts Its Investor Day
Tesla is set to host its 2023 investor day today at its Gigafactory in Austin, Texas, where the company is expected to unveil CEO Elon Musk’s “Master Plan 3,” focused on achieving very large scale in vehicle and battery production. Analysts expect Musk to announce changes to its Model Y, as well as Tesla’s cheapest model yet, starting at less than $30,000. Musk is also expected to discuss details of plans to build a new assembly plant in northern Mexico, broadening its operations outside of the U.S.
2. Manufacturing Activity in China Beats Expectations
China’s National Bureau of Statistics said its official manufacturing PMI rose to a reading of 52.6 in February, the highest level since April of 2012. The report sent the Hang Seng Index up over 4% and The Shanghai Composite up 1%. The U.S. ISM releases its manufacturing PMI for February later this morning. Economists forecast a reading of 47.9, in line with January. The index has been below the expansionary level of 50 since November.
3. Rivian Shares Fall After Production Projections Fall Short of Estimates
Rivian (RIVN) shares fell over 8% in pre-market trading after reporting its latest earnings and said its EV production would come in at 50,000 vehicles this year, roughly double last year’s production but compared to expectations of 60,000 vehicles. Rivian posted a loss of $1.73 per share compared to expectations of $1.94 per share. Its revenue came in at $663 million compared to estimates of $742 million.
4. Visa and Mastercard Hit the Brakes on Crypto Partnerships
U.S. payment giants Visa and Mastercard are putting the brakes on plans to forge new partnerships with cryptocurrency firms. The moves come after a string of high-profile collapses shook confidence in the industry.
5. Novavax Slashes Spending Amid Uncertainty
Novavax (NVAX) shares tumbled over 26% in pre-market trading after raising doubts about its ability to remain in business. The vaccine maker announced plans to slash spending and said there is significant uncertainty around its 2023 revenue after its COVID-19 vaccine rollout was plagued by manufacturing snags, regulatory delays, and sluggish demand.