Tesla (NASDAQ:TSLA) seems to keep attracting troubles. Recently, a Tesla car had a fatal accident in California after crashing into a fire truck on an interstate highway. While all four firefighters were safe, one of the Tesla’s occupants was declared dead at the scene and the other was transported to a hospital.
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The latest accident adds to the National Highway Traffic Safety Administration’s list of scenes that the auto regulator seeks to review. Tesla’s advanced driver-assistance system, known as Autopilot, is suspected to have played a role in these accidents.
Autopilot helps reduce the overall workload of a driver by matching the speed with surrounding traffic and assisting in steering. It also features auto lane change and auto parking.
It is worth highlighting that last week, Elon Musk’s Tesla recalled about 362,000 vehicles featuring the beta version of full self-driving software. The recall is based on the risk that the software may malfunction and cause a vehicle to crash.
Twitter’s Unpaid Bills
Piling onto Musk’s problems, as per a WSJ report, Twitter is facing a rising number of lawsuits. They allege that the Musk-owned social media company has not paid its bills totaling more than $14 million plus interest.
Of the nine lawsuits demanding money from Twitter, three involve office space, which includes the San Francisco headquarters. The landlord claims that Twitter failed to pay almost $6.8 million in rent for December and January.
What is the Prediction for Tesla Stock?
The constant recalls and accidents raise questions about the credibility of Tesla. Further, the company has been facing setbacks in China as demand continues to remain unsatisfactory. Nevertheless, the launch of CyberTruck later this year is expected to be one of the company’s growth drivers.
Wall Street is cautiously optimistic about TSLA stock, with a Moderate Buy consensus rating based on 22 Buys, six Holds, and three Sells. The average price target of $202.46 implies downside potential of 2.8%. TSLA shares have rallied 92.7% since the start of this year.
