Tesla Faces Calls to Postpone Robotaxi Rollout in Austin
Tesla (NASDAQ:TSLA) was pressed by a group of Democratic lawmakers to defer its planned Austin robotaxi launch until September, when Texas's new autonomous-vehicle law takes effect.
In a Wednesday letter, Austin-area legislators said delaying the debut would bolster public safety and foster community trust, urging Tesla CEO Elon Muskwho had tentatively eyed a launch this Sundayto submit detailed compliance plans for the incoming rules.
The legislation, pending the governor's signature, will mandate operational permits for autonomous fleets, grant state authorities power to revoke them over safety breaches and require emergency-response protocols. Tesla's initial robotaxi fleet may include 1020 Model Y vehicles operating only in zones deemed safest, according to Musk's January announcement.
Investors and analysts are closely watching the rollout, as much of Tesla's market valuation hinges on autonomous ride-hailing and humanoid roboticstechnologies yet to hit the road.
With TSLA shares flat over the past week, any regulatory hiccup could heighten skepticism around the timeline for mass adoption. Competing firms and legacy automakers are monitoring Texas's framework as a potential blueprint for future deployments.
Why It Matters: A delay could push back revenue projections tied to ride-hailing services and shape investor expectations for Tesla's autonomy roadmap.
This article first appeared on GuruFocus.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
15 minutes ago
- Yahoo
Jefferson hopes to renew two levies
JEFFERSON — Village council voted to move forward with the renewal of two existing levies to help provide services to residents. The resolutions request the Ashtabula County Auditor certify the total current tax valuation and amount of revenue that would be generated for a 1.55-mill, five-year street light levy and a one-mill, five-year fire levy, to be placed on the November ballot. Council also approved a resolution to establish a K-9 fund to be used for all donations and revenues received for the upkeep and support of the dog. They also approved the hiring of Jeromey Cummins to a full-time detective/patrolman position. Jefferson Village Manager Steve Murphy said he was able to attend a local government conference early this month in Washington D.C. He said he was able to let state and federal officials know where the village is, and urge them to come visit. He said one of the topics of conversation was House Bill 335, which would eliminate property tax inside millage. Murphy said the proposal would cost the village $250,000-$300,000 a year.
Yahoo
21 minutes ago
- Yahoo
Seneca Stock Declines Following Lower Q4 Earnings Despite Sales Gain
Shares of Seneca Foods Corporation SENEA have lost 3.4% since the company reported its earnings for the quarter ended March 31, 2025. This compares to the S&P 500 Index's 0.7% decline over the same time frame. Over the past month, the stock lost 3.7% against the S&P 500's 0.9% rise. Seneca reported net sales of $345.8 million for the fourth quarter of fiscal 2025, up 12.3% from $307.9 million in the same quarter last year. However, net earnings were modest at $0.6 million, or $0.09 per share, against a net loss of $2.2 million or $0.32 per share, in the prior-year quarter. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.) Full-year net sales rose 8.2% to $1.58 billion from $1.46 billion, driven by higher volumes, favorable mix and pricing actions. Despite the revenue increase, annual net earnings declined 34.9% to $41.2 million from $63.3 million. Earnings per share dropped 31.1% from $8.56 to $5.90 on a diluted basis. Gross margin as a percentage of net sales also compressed notably, from 6.7% to 4.5% for the quarter and from 12.9% to 9.5% for the year. Seneca's adjusted net earnings for the year, which exclude LIFO-related charges, came in at $67.1 million compared with $80.2 million a year ago — a 16.3% decline. This suggests core profitability deterioration despite higher sales, reflecting cost pressures. EBITDA was $136.9 million, down 18.1% from $167.3 million, while FIFO-adjusted EBITDA dropped 9.6% to $171.4 million from $189.6 million, both indicating a weaker operational performance compared to fiscal 2024. Segment-wise, the vegetable division continued to dominate, comprising 91.1% of the food packaging revenues, with canned vegetables alone accounting for 83.2% of total net sales. Canned vegetable sales rose to $1.31 billion in fiscal 2025 from $1.20 billion in 2024, a 9.1% increase. Frozen vegetables rose to $124.7 million from $120.8 million (up 3.2%), fruit products reached $92.4 million from $87.4 million (up 5.7%) and snacks rose to $14.9 million from $13.4 million (up 11.9%). The 'Other' category, including can and seed sales and aircraft operations, posted growth of 1% to $32.5 million from $32.2 million. Seneca Foods Corp. price-consensus-eps-surprise-chart | Seneca Foods Corp. Quote President and CEO Paul Palmby commented on the solid top-line performance despite adverse weather, tariff fluctuations and input cost inflation. Palmby highlighted that strong operating cash flow enabled a $297 million reduction in net debt year over year, which is a significant achievement in a high-cost environment. Nevertheless, he cautioned that high-cost inventories from the 2024 pack continued to compress margins, especially in the fiscal fourth quarter. Several factors weighed on margins and profitability during the fiscal year. The company faced elevated input costs across raw materials, packaging, transportation and labor. Although some cost pressures began to ease in fiscal 2025, they remained above historical levels. Additionally, Seneca struggled to fully pass on these costs to customers in a timely manner, leading to margin erosion. The decline in margins was primarily attributed to higher input costs — including raw materials, labor and distribution — which outpaced the benefits from pricing adjustments. SENEA's use of the LIFO inventory valuation method resulted in a significant charge of $34.5 million for the fiscal year, up 54.3% from $22.3 million in the prior fiscal year, reducing reported profitability. These elevated LIFO charges reflected the cost pressure of high-priced inventory carried into fiscal 2025. In addition, segment-specific dynamics such as commodity volatility and changing consumer demand played roles. The vegetable segment, which comprises 91.1% of food-related sales, faced margin compression even amid volume growth. Despite implementing sales price increases, Seneca acknowledged that these adjustments often lag behind cost escalation, especially in a competitive market landscape. Seneca also cited a rainy growing season as a challenge, likely impacting yields and increasing procurement and processing complexities. The seasonal nature of its operations, particularly in the third quarter, exacerbated cost management issues as inventories and accounts payable peaked during harvest cycles. Seneca did not provide formal earnings or sales guidance for fiscal 2026 in either the earnings press release or the 10-K filing. However, the company did highlight its ongoing efforts to manage costs through short-term supply contracts and operational efficiency initiatives. Management also suggested that certain cost pressures, such as labor and raw materials, had begun to stabilize during fiscal 2025, potentially easing some margin constraints in the near term. Management also highlighted ongoing investment in technology and logistics to drive future margin recovery. There were no acquisitions, divestitures or significant restructuring initiatives disclosed by management for the quarter ended March 31, 2025. SENEA's capital allocation focused on debt reduction, and no dividends were paid. Stock repurchases continued on a modest scale, with 9,891 Class A shares repurchased during February 2025 from the company's employee savings plan at an average price of $79.53 per share. 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 Seneca Foods Corp. (SENEA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
21 minutes ago
- Yahoo
Ford Pauses Mustang Mach-E Sales Due to Door Lock Issue
Ford Motor Company F is issuing a global recall for around 317,000 Mustang Mach-E vehicles due to a malfunction that could cause drivers to become locked out or, in some cases, leave the occupant trapped inside the recall affects Mach-E models from the 2021 to 2025 model years, both in the United States and abroad. Ford has instructed its dealers not to sell or deliver any affected vehicles, which are manufactured in Mexico, until a forthcoming software update addresses the issue arises when the car is shut off and the occupants exit using the mechanical interior door handles. The doors might stay locked after closing, posing a danger if a child or pet remains inside. Ford warned that in such situations, a person who exits may be unable to quickly re-enter and assist someone still inside who cannot open the door from within, potentially leading to serious harm, especially in high far, Ford says no injuries or accidents have been linked to the defect. The automaker is working on a software fix, expected to become available in the third quarter. Until then, the stop-sale order remains active. While current owners will be eligible for the update, some may need to visit a dealership rather than receiving it over the air. Once the fix is ready, Ford will contact owners via mail to arrange a service appointment at no January through May this year, Ford sold 19,258 Mach-E units in the United States, up 2.8% from the same period last year. In contrast, sales of the gas-powered Mustang fell 18% to 19,309 company recently increased the Mach-E's price by up to $2,000, partly in response to a 25% tariff on imported vehicles and parts imposed by President Donald Trump. Ford estimates these tariffs will cost the company $2.5 billion in 2025, though it aims to offset $1 billion of that through pricing and cost-cutting strategies. Ford carries a Zacks Rank #3 (Hold) at better-ranked stocks in the auto space are CarGurus, Inc. CARG, Strattec Security Corporation STRT and Michelin MGDDY, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today's Zacks #1 Rank stocks Zacks Consensus Estimate for CARG's 2025 sales and earnings implies year-over-year growth of 4.96% and 25%, respectively. EPS estimates for 2025 and 2026 have improved 30 cents and 44 cents, respectively, in the past 60 Zacks Consensus Estimate for STRT's fiscal 2025 sales and earnings implies year-over-year growth of 3.49% and 8.11%, respectively. EPS estimates for fiscal 2025 and 2026 have improved 73 cents and $1.63, respectively, in the past 60 Zacks Consensus Estimate for MGDDY's 2025 sales and earnings implies year-over-year growth of 1.69% and 37.76%, respectively. EPS estimates for 2025 have improved by a penny in the past 30 days. EPS estimates for 2026 have improved by 3 cents in the past seven days. 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 Ford Motor Company (F) : Free Stock Analysis Report Strattec Security Corporation (STRT) : Free Stock Analysis Report Michelin (MGDDY) : Free Stock Analysis Report CarGurus, Inc. (CARG) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
