Tesla stock falls after recalling more than 350,000 Model 3 EVs to fix rearview camera issue

tesla-stock-falls-after-recalling-more-than-350,000-model-3-evs-to-fix-rearview-camera-issue

Shares of Tesla Inc. TSLA, -0.21% fell 1.2% in premarket trading, putting them on track for a third-straight decline, as the electric-vehicle industry leader announced a voluntary safety recall of 356,309 Model 3 vehicles, citing potential issues with rearview cameras. The company said in a notice to the National Highway Traffic Safety Administration it was recalling all 2017-to-2020 Model 3 vehicles, saying the rearview camera cable harness may be damaged by the opening and closing of the trunk, which could prevent the camera image from displaying. “A rearview camera that does not function reduces the driver’s rear view, increasing the risk of a crash,” the NHTSA notice said. Tesla said it will inspect and install a guide protector and new cable harness for free for recalled vehicles. The stock, which has slipped 0.7% the past two days, after soaring 21.6% amida four-session win streak through Monday. Meanwhile, the stock has shed 5.1% month to date, putting it on track to snap a six-month win streak in which it rocketed 83.1%. The S&P 500 SPX, +0.14% has gained 5.0% this month.

Source: Marketwatch

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