Tesla slides after report says Amazon has invested in a self-driving startup

  • Tesla shares made session lows after a report said Amazon has invested in the self-driving startup Aurora Innovation.
  • Shares were down more than 4%.
  • Watch Tesla trade live.

Tesla slid to session lows Thursday morning after a report said Amazon has invested in a self-driving startup.

Shares were down more than 4% to near $US304.12 apiece after Bloomberg reported the self-driving startup Aurora Innovation has raised $US530 million from a group of investors that includes the venture-capital firm Sequoia Capital and has financial backing from Amazon and T. Rowe Price.

Thursday’s selling has Tesla shares flirting with their lowest close since January 29, the day before the electric-car maker’s fourth-quarter earnings report.

Tesla reported mixed fourth-quarter results that missed on the top line but beat on the bottom line. It was, however, the first time the electric-car maker reported back-to-back quarterly profits. And on the earnings call, CEO Elon Musk said the company would be profitable for “all quarters going forward.”

Earlier in January, Tesla announced it was laying off about 7% of its workforce, or more than 3,000 employees, as it looked to achieve a profit and make the Model 3 more affordable.

Tesla shares were down 4.7% through Wednesday.

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