Core Insights - Seagull Watch has launched its flagship line of high-complication timepieces at Watches and Wonders 2025, indicating a significant shift in the luxury watch market [1] - The company offers fully in-house complications priced under $4,000, challenging traditional luxury pricing models dominated by Swiss manufacturers [2] - Seagull's engineering capabilities rival those of Swiss peers, with full vertical integration allowing for the production of high-quality components in-house [4] - The brand's direct-to-consumer strategy and community engagement have led to significant sales and recognition in the market [6][8] Company Strategy - Seagull emphasizes transparency and direct-to-consumer sales, avoiding traditional distribution networks and heritage branding [6] - Monthly livestreams on platforms like TikTok have proven successful, selling over 1,500 high-complication watches regularly [6] - The company aims to democratize high complications, making advanced horological engineering accessible to a broader audience [6] Market Trends - A 2023 McKinsey study indicates that heritage branding accounts for 78% of premium watch pricing, a model that Seagull is actively challenging [8] - The trading volume of pre-owned Seagull chronographs has increased by 340% on Chrono24 since 2022, reflecting growing market interest [8] - Over 120 independent microbrands are now utilizing Seagull-manufactured movements, showcasing the brand's influence in the industry [8] Industry Recognition - Seagull's pieces have been included in auction houses like Christie's under "Affordable Icons," highlighting the brand's rising status [8] - The brand is redefining luxury horology by focusing on mechanical performance rather than marketing mystique [10] - Industry experts note a shift towards engineering-led horology, suggesting that traditional narratives may be losing relevance [10]

Core Viewpoint - Tesla's true value may lie in its future product platforms, such as autonomous robotaxis and humanoid robots, rather than its current electric vehicle (EV) sales [1][10] Sales Performance - Tesla delivered 1.79 million EVs in 2024, marking a 1% decline from the previous year, which is the first annual drop since 2011 [5] - In Q1 2025, Tesla delivered 336,681 EVs, reflecting a 13% year-over-year decline [6] - For Q2 2025, Tesla delivered 384,122 EVs, also down 13% year-over-year, indicating a potential sharper annual decline in sales for 2025 compared to 2024 [6] Competitive Landscape - Tesla's sales in Europe fell by 40% in May, while the overall EV market in Europe grew by 26% [7] - Chinese EV brands have doubled their market share in Europe, presenting significant competition for Tesla [7] - Tesla's pricing strategy is challenged by competitors like BYD, which offers lower-priced models, making it difficult for Tesla to compete in key markets [8] Future Product Development - Tesla is focusing on its Cybercab robotaxi, which will operate on full self-driving software, avoiding a price war with competitors [9][10] - The goal is to have millions of Cybercabs generating revenue through passenger transport and small deliveries [10] Financial Implications - Tesla's total revenue shrank by 9% in Q1 2025, with earnings plummeting by 71% to $0.12 per share [13] - The stock is down approximately 34% from its peak, but the decline in earnings is more severe, leading to a high price-to-earnings (P/E) ratio of 173.4 [14] - Comparatively, major tech companies have an average P/E ratio of 35.4, indicating Tesla's stock may be overvalued [15] Market Outlook - If Tesla's FSD and Cybercab initiatives succeed, the current stock price may appear cheap in the long term, but regulatory hurdles remain [16] - Significant declines in stock value could occur if EV sales continue to drop or if the robotaxi business fails to gain traction [18]

Global Research ab 20 June 2025 European Autos Chinese OEMs accelerating in Europe – time to be worried? Chinese brands comprise 6% market share now, even 11% in the EV segment Latest monthly data for the top-5 European markets show market share acceleration among Chinese brands, and we think further expansion in the coming months is likely on (1) even more price competition in the Chinese domestic market, ie, more profitable exports, (2) a potential replacement of EU EV import tariffs by minimum pricing, a ...

Tesla is gearing up to finally launch its robotaxi service, but the company is drawing close to another equally important deadline. As Elon Musk gets set to begin offering robotaxi rides to a select group of invitees in Austin this weekend, Tesla fans are still waiting for news about the company's long-awaited low-cost electric cars.In January, Tesla said that it would start production on new models, "including more affordable models," in the first half of 2025. In the automaker's earnings in April, Tesla ...

June 9, 2025 04:00 AM GMT Autos & Shared Mobility | North America Global EV Tracker: China's Era of Electric Domination Global EV sales in April were up 38% y/y, driven by China which experienced 51% y/y growth (EU also at +30%). Global share gainers were led by Geely, XPeng, BAIC and Dongfeng while losers of share included Tesla, Mercedes, GAC and Toyota. Tesla global sales down 17% y/y and down 15% y/y in the US. I'd greatly appreciate your support for the Morgan Stanley Auto & Auto Parts team in this yea ...

Key Takeaways TSLA's China-made EV sales dropped 15% Y/Y in May, continuing an 8-month downward trend. Price wars and Elon Musk's political image are weighing on TSLA demand in China and Europe. TSLA added incentives like FSD transfer and rural EV inclusion to revive China sales.Tesla's (TSLA) sales of China-made EVs continued to decline for the eighth consecutive month in May due to intensifying price wars in the world's largest auto market. Per the China Passenger Car Association data, combined domestic ...

Chinese electric carmakers Leapmotor and Aito reported record high deliveries in May, while other startups struggle to catch up as the price war intensifies.Stellantis-backed Leapmotor delivered a record 45,067 vehicles in May, reflecting year-on-year growth of 148%. On May 15, the automaker launched an updated version of its C10 model, a mid-sized SUV, that retailed from 122,800 yuan ($17,045). Leapmotor said over 13,000 units of the C10 were delivered in May.And on Sunday, Seres-backed Aito announced on s ...

Core Insights - The Chinese electric vehicle (EV) market is facing significant challenges, with major players like BYD, NIO, XPeng, and Li Auto experiencing sharp declines in their stock prices due to fears of a price war and regulatory concerns [1][2][10] Group 1: BYD's Pricing Strategy - BYD has implemented aggressive price cuts on 22 electric and plug-in hybrid models, with the Seagull hatchback starting at 55,800 yuan (approximately $7,765) and the Seal sedan's price reduced by 34% to 102,800 yuan [2][3] - While these price cuts may increase sales volume, they are expected to significantly squeeze profit margins across the industry, affecting all competitors [3][6] Group 2: Competitors' Margin Pressures - Li Auto's vehicle margin decreased from 22.7% in Q4 2023 to 19.7% in Q4 2024, raising concerns about its ability to maintain profitability in a competitive market [4] - NIO aims to achieve a vehicle margin of 20% this year, but the ongoing price war may hinder this goal [4][5] - XPeng's vehicle margin increased slightly from 10% in Q4 2024 to 10.5% in Q1 2025, but its profitability remains uncertain as price reductions push breakeven further away [5] Group 3: Industry Dynamics and Challenges - The current price war is expected to lead to a shakeout in the industry, particularly affecting smaller and weaker competitors who may struggle to respond to price cuts [6][10] - Supply chain pressures are mounting, with industry leaders like Great Wall Motor highlighting the strain on suppliers due to demands for lower costs and delayed payments [7] - The influx of startups in the EV sector is now facing challenges as the competitive landscape erodes profitability, with advanced features being bundled into base models [8][9] Group 4: Regulatory Environment - China's state planner has raised concerns about excessive competition, warning against companies selling vehicles below cost, which undermines fair competition [9] - The upcoming earnings reports from Li Auto and NIO will be closely monitored as the market navigates this challenging phase [11]

Core Insights - BYD's shares dropped by as much as 8.25% following the announcement of price cuts on 22 electric and plug-in hybrid models, effective until the end of June [1][3] - Significant price reductions include a 20% cut for the Seagull hatchback to 55,800 Chinese yuan ($7,780) and a 34% reduction for the Seal dual-motor hybrid sedan to 102,800 yuan [2] - Analysts from Citi predict a 30% to 40% increase in dealership footfall due to the price cuts, indicating a potential boost in sales [3] Company Performance - Other Chinese automakers also experienced declines in share prices, with Geely Automobile down 7.29%, Great Wall Motor Co down 2.94%, Li Auto down 4.93%, and Xpeng down 4.19% [4] - Despite the price cuts, Citi's analysts do not foresee a significant erosion of competitors' market share, expecting robust sales growth for new energy vehicle companies priced below 200,000 Chinese yuan [4]

BYD just scored a major win against Tesla in one of its biggest markets. The Chinese electric vehicle giant outsold Tesla in Europe for the first time last month, as Elon Musk's automaker saw its sales collapse amid furious backlash over its CEO's politics.BYD sold 7,230 battery-electric vehicles in April, compared to 7,165 for Tesla, according to JATO Dynamics data. It's a major milestone for the Chinese brand, and suggests BYD has taken advantage of Tesla's alarming decline in Europe.New Tesla registrat ...