- UBS says the results of its teardown of a Tesla (NASDAQ:TSLA) Model 3 assembled in 2017 were disappointing for a $49K car.
- "Our teardown experts noted numerous Model 3 quality issues including inconsistent gaps & flushness throughout the car, missing bolts, loose tolerances, and uneven & misaligned spot welds," writes analyst Colin Langan.
- The UBS warning follows a separate report from Business Insider on customer complaints of quality and service issues, which is a break from the high marks Tesla has been earning from Consumer Reports on the customer satisfaction end.
- While UBS has a Sell rating on Tesla, it has also highlighted the "next-gen, military-grade tech" that puts the company years ahead of its peers. The sticking point for UBS is the lower margins on the Model 3 than anticipated.
- Shares of Tesla are up 0.94% on the day and are 6.0% higher for the week.
- Now read: Stupid Money Risk Is Real
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