Tesla European sales, Lucid Q4 earnings, Lamborghini: EV latest

Yahoo Finance Video

Thu, February 26, 2026 at 3:21 AM GMT+9

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Electric vehicles (EVs) are facing market losses from all directions.

Yahoo Finance Senior Autos Reporter Pras Subramanian chats with Asking for a Trend host Josh Lipton to discuss the latest developments for automakers Tesla (TSLA), Lamborghini (VWAGY), and Lucid (LCID).

To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend.

Video Transcript

00:00 Speaker A

Tesla registrations in Europe, you know, fell 17% in January. That was, you point out here, Praz, that was the 13th straight month of declines. Overall registrations, on the other, they rose nearly 14%. So then do you look at that, Praz, and say, this is a Tesla specific problem. This is an early sign of, I don’t know, EV saturation. What did you think when you saw that?

00:24 Speaker B

Well, you can see that that EV sales are still rising in January, they rose last year in Europe too. Clearly there’s demand there. The question is why isn’t there demand for Tesla? Um, is are the cars too expensive? Is it the Elon factor? Are there maybe the new new vehicles. I think all three of those factors are part of the equation as to why Tesla’s struggling in Europe. We can’t discount the Elon factor, right? That’s part of it. But on the flip side, BYD, right? Sales surging, tripling almost.

00:57 Speaker A

165%. Yeah.

01:00 Speaker B

Yeah. And they’re offering not just EVs, but also hybrids. And and I think Europeans are seeing the it’s dollars and cents or euros, right?

01:08 Speaker A

Do you when you you when you see that number of BYD, that is a remarkable surge. That is do you think that’s price? That’s tech? That’s product mix? All three? What is that?

01:17 Speaker B

I think it’s all. I think it’s I think it’s mostly price. I think that they’re just undercutting European makers, Tesla, whoever else, other other other other automakers. So price is huge. It’s hybrids too. A lot of those are hybrids, right? So you know, that’s that’s going to be a cheaper car in general uh and it’s easier to, you know, it’s easier to have that kind of car as as your only car for instance. So that’s the problem that you’re seeing for Tesla in Europe and I think other European automakers too.

01:41 Speaker A

Sticking with that EV theme, Lamborghini, when you wrote about this, pulling the plug on its upcoming luxury EV. What’s the story there?

01:51 Speaker B

Yeah, you know, they were one of the first luxury supercar makers to say we’re going to do EV. Uh back in 2023 at Pebble Beach, they they they debuted the World Premier of the Lanzador EV. Uh I actually got to drive this thing as a prototype. It’s really cool to drive a car. Usually you don’t let they let you do that. But they were so high on it. Um and it was cutting edge design, really cool interior. They thought this was the future. and it turns out, you know, we people we spoke to, you know, the CEO Stephan Winkelmann a while back and other people there saying, what’s the demand like? Are people asking for it? She’s like, well, you know, they want

02:22 Speaker B

electrification, they want to be green, but they still want emotion, they still want excitement. And now he said in an interview with Sunday Times that the demand was close to zero uh for the vehicle because it’s just that they just didn’t have the emotion that they want. Emotion being sound, vibration, just sort of like that experience of of being in a like a a a car an analog experience, right? EVs don’t provide that. So that’s what we’re seeing with that car. The demand was so bad that they thought that you know what? We want electrification and we need to because of rules in places like Europe and things like that, we’re going to do plug-in hybrids.

03:00 Speaker B

You know, we’re talking about here, look, the the theme right now, I think the stock is down because of the wider losses than expected, right? We’re seeing, you know, what, down 5, 6% here. Uh, adjusted EDA loss of $874 million in Q in Q4. I mean, that’s just a a pretty insane amount. So I spoke to the CFO about, you know, are we expected to see these losses persist going to next year, or going to this year. And he said, no, you know, we’ve done a lot of, of production ramp for the gravity SUV. Uh,

03:41 Speaker B

as that vehicle ramps up, he said he he he told me most of the production in Q4 was that car and that car is supposed to be, you know, widely more widely selling automobile being an SUV. So as those sales ramp up, it’ll it’ll it’ll cut into the you know, sort of the per car fixed costs, fixed costs. That’ll come down. They have a mid-sized SUV, a mid-sized coming out uh in 2027. That’ll also help bring down those costs. But, you know, I asked him, are you guys going to do another capital raise? And he said, look,

04:09 Speaker B

we’re good till the first half of 2027, but uh we do anticipate potentially needing more and we will be we’ll be uh we’ll be judicious about it and and see opportunities where we can make make some uh uh some cash come back in terms of the capital races. But look, their largest shareholder is the Saudi Arabian PIF, uh private investment fund, public investment fund. And they have nearly a trillion dollars in in assets. So, I think they’re okay if they need more money, but it’s just the fact that just so many losses is a problem.

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