Tesla Under Scrutiny Due to Model 3 Door Release Concerns

Core Insights - Tesla, Inc. is facing scrutiny from the U.S. auto safety regulator due to a defect investigation into Model 3 vehicles, focusing on the accessibility of emergency door release controls [1][2] Group 1: Investigation Details - The National Highway Traffic Safety Administration (NHTSA) has initiated a probe covering approximately 179,071 Model 3 vehicles from the 2022 model year, following a defect petition that claims the mechanical door release is concealed and not intuitive to locate during emergencies [2][9] - The investigation was launched on December 23, indicating regulatory concern over the safety of the vehicle's door release mechanism [2] Group 2: Safety Concerns - Tesla primarily utilizes electronic door latches that operate via buttons, which safety experts have criticized for not being consistently visible or clearly labeled, particularly for rear-seat passengers [3] - Although manual door releases are available for emergencies, their visibility and accessibility have been questioned, raising safety concerns [3] Group 3: Previous Investigations - This investigation marks the second probe into Tesla's door handles in 2023, with a previous investigation into the 2021 Model Y SUV affecting around 174,000 vehicles due to reports of parents being unable to open the electric doors to rescue their children [5][9] - In some instances, parents resorted to breaking vehicle windows to reach their children, highlighting the urgency of the safety issue [5] Group 4: Company Ranking and Comparisons - Tesla currently holds a Zacks Rank of 3 (Hold), while competitors such as General Motors, OPENLANE, and Garrett Motion have higher rankings of 1 (Strong Buy) [6] - The Zacks Consensus Estimate for General Motors' 2025 and 2026 EPS has seen improvements of 8 cents and 47 cents, respectively, over the past 30 days [6]