Tesla delivers record third quarter but the stock market responded poorly

Tesla shares fell by more than 5 percent in after-hours trading on Wednesday following the release of the electric-car maker’s third-quarter delivery and production numbers.

What Happened?

The electric-car maker handed over 97,000 vehicles to customers in the third quarter, exceeding the 95,356 reported for the prior three months.

Tesla said it delivered 79,600 Model 3 cars and 17,400 Model S and X vehicles in the third quarter. That compares to 55,840 Model 3s and 27,660 Model S and X vehicles in the third quarter of 2018.

Why It Matters

Analysts expected Tesla to deliver 99,000 vehicles during the quarter, including 80,200 Model 3s.

These third-quarter numbers let down investors who bid the shares up on Sept. 26 after Musk told employees they had a shot at reaching the six-figure mark for the first time.

Tesla stock plunged as much as 5 percent after the close.

Musk previously predicted Tesla would deliver between 360,000 and 400,000 vehicles this year. That target remains possible if the company can hit 105,000 vehicle deliveries in the fourth quarter.