Consumers are stretched thin, tapped out of credit: Unicus Research's Ganapathi

EV Market Analysis - The EV sector initially saw many companies aiming to become the next Tesla, but scaling production at a reasonable cost proved challenging [1][2] - Several EV companies like Fisker, Faraday Future, and Canoo faced financial difficulties and went bankrupt around 2024 [1][2] - Tesla's decision to open up its charging stations to other EVs is significantly beneficial compared to companies like ChargePoint [2] - Consumers have expressed frustration with the charging experience at non-Tesla charging stations [2] Consumer Credit and Economic Conditions - 60% of the population is living paycheck to paycheck, relying on "buy now pay later" services to manage expenses [4] - 25% of consumers using "buy now pay later" services are using it to purchase groceries, indicating an unhealthy economic situation [4] - Stimulus checks during the COVID-19 pandemic distorted the understanding of prime and subprime credit scores [5] - Auto loan originations spiked post-pandemic, leading to increased consumer delinquencies, charge-offs, and repossessions [5][6] - Despite rising delinquencies and repossessions in asset-backed securities for auto loans, companies are not yet increasing their provision for credit losses (PCL) [6]