NEW YORK, April 26, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, reminds investors that a class action lawsuit has been filed against Tesla, Inc. (“Tesla” or the “Company”) (NASDAQ: TSLA) in the United States District Court for the Northern District of California on behalf of all persons and entities who purchased or otherwise acquired Tesla securities between February 19, 2019 and February 17, 2023, both dates inclusive (the “Class Period”). Investors have until April 28, 2023 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
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Tesla designs and manufactures electric vehicles, battery energy storage, solar panels and roof tiles, and related products and services. Tesla is headquartered in Austin, Texas and incorporated in Delaware. The Company’s common stock trades on the Nasdaq Stock Market (“NASDAQ”) under the ticker symbol “TSLA”.
In 2014, Tesla announced Tesla Autopilot (“Autopilot”), a suite of purportedly advanced driver-assistance system (“ADAS”) features including automated lane-centering, traffic-aware cruise control, lane changes, semi-autonomous navigation, and self-parking. In September 2014, all Tesla cars started shipping with the sensors and software necessary to support the Autopilot system. Since then, the Company has touted refinements and enhancements to the Company’s ADAS and Autopilot features, including so-called “Full Self-Driving” (“FSD”) software, which purportedly enables Tesla vehicles to drive autonomously to a destination entered in the car’s navigation system.
Throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Defendants had significantly overstated the efficacy, viability, and safety of the Company’s Autopilot and FSD technologies; (ii) contrary to Defendants’ representations, Tesla’s Autopilot and FSD technologies created a serious risk of accident and injury associated with the operation of Tesla vehicles; (iii) all the foregoing subjected Tesla to an increased risk of regulatory and governmental scrutiny and enforcement action, as well as reputational harm; and (iv) as a result, the Company’s public statements were materially false and misleading at all relevant times.
On April 18, 2021, media outlets reported that a Tesla vehicle with “no one” driving it had crashed into a tree, killing two passengers near Houston, Texas in a “fiery” crash. A Harris County Precinct constable told local news station KPRC 2 that the investigation showed “no one was driving” the 2019 Tesla vehicle when the accident occurred.
On this news, Tesla’s stock price fell $25.15 per share, or 3.4%, to close at $714.63 per share on April 19, 2021.
On August 16, 2021, media outlets reported that the National Highway Traffic Safety Administration (“NHTSA”) had opened a formal investigation into Tesla’s Autopilot system after a series of collisions with parked emergency vehicles. The scope of the investigation included 765,000 vehicles, or nearly every vehicle that Tesla has sold in the U.S. since the start of the 2014 model year.
On this news, Tesla’s stock price fell $31.00 per share, or 4.32%, to close at $686.17 per share on August 16, 2021.
On June 3, 2022, media outlets reported that NHTSA had issued a formal inquiry to Tesla about the Autopilot and FSD features for certain models of its vehicles after receiving complaints from more than 750 owners of the vehicles about sudden and unexpected braking with no immediate cause.
On this news, Tesla’s stock price fell $71.45 per share, or 9.22%, to close at $703.55 per share on June 3, 2022.
On January 27, 2023, media outlets reported that the SEC was investigating statements made by Tesla and its Chief Executive Officer (“CEO”), Defendant Elon R. Musk (“Musk”), concerning the Autopilot system, including whether Musk made inappropriate forward-looking statements regarding the Autopilot system.
On this news, Tesla’s stock price fell $11.24 per share, or 6.32%, to close at $166.66 per share on January 30, 2023.
On February 16, 2023, media outlets reported that NHTSA had ordered a recall of nearly 363,000 Tesla vehicles equipped with the Company’s FSD “Beta” software, stating that the software may allow the equipped vehicles to act “in an unlawful or unpredictable manner,” increasing the risk of a crash.
On this news, Tesla’s stock price fell $12.20 per share, or 5.69%, to close at $202.04 per share on February 16, 2023.
Then, on February 18, 2023, media outlets reported that a Tesla vehicle had crashed into a fire truck that was responding to an earlier accident, killing the driver and injuring a passenger and four firefighters. News reports linked the crash with prior reports of Tesla vehicles crashing into stationary emergency vehicles as a consequence of poorly performing ADAS technologies, increasing market and public concerns regarding the Autopilot system in Tesla’s vehicles.
On this news, Tesla’s stock price fell $10.94 per share, or 5.25%, to close at $197.37 per share on February 21, 2023, the next trading day.
As a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of the Company’s common stock, Plaintiff and other Class members have suffered significant losses and damages.
If you purchased or otherwise acquired Tesla shares and suffered a loss, are a long-term stockholder, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at investigations@bespc.com, telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact Information:
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Melissa Fortunato, Esq.
(212) 355-4648
investigations@bespc.com
www.bespc.com
