The topic I chose is whether semiconductor price changes have an impact on Tesla’s stock price
1. The request is for a Summary Table of statistics of the data (see below), NOT regressions or estimation output yet.
2. Send a table (preferably an excel file) with summary statistics for EACH variable Y and X that you will use: name of variable, mean, median, std dev, minimum, maximum, number of observations.
Part 1: Will the price change of semiconductors have an impact on Tesla’s stock
In the past few months, the global automotive industry has suffered an unprecedented chip supply shortage, with many companies announcing production shutdown and production reduction measures, and Tesla is no exception.
In a news release on Feb. 25, Musk confirmed that Tesla’s electric car factory in Fremont, California, was forced to shut down production for two days due to a parts shortage. He did not elaborate on whether the shutdown of certain production lines would occur again in the future. Semiconductor makers like Global Foundries are reportedly running all of their manufacturing capacity at close to 100 percent capacity. South Korean tech giant Samsung is currently in a similar position. As a result, the shortage is unlikely to decrease until manufacturing capacity keeps up with demand. TSMC, the world’s largest foundry chipmaker, recently changed its price reduction policy for major customers due to increased demand. Other chipmakers have raised prices by 20 percent. A shortage of supply in the semiconductor market is also expected to lead to higher memory prices.
In fact, in last year’s fourth-quarter earnings analyst meeting, Tesla has warned that chip supply shortages could affect the company’s ability to meet production targets in the first half of this year. The company’s chief financial officer Zachary Kirkhorn (Zachary Kirkhorn) said that in the first quarter of this year, due to the transition to the upgraded version, Model S and Model X production will be relatively low. In addition, the global semiconductor supply shortage and port transportation problems will also have a temporary impact on Tesla, the company is doing everything possible to solve the problem.
Therefore, this paper will collect Tesla’s stock prices from 2018-2021 and examine whether the price of semiconductors will have an impact on Tesla’s stock by controlling for relevant variables (e.g., market returns, industry returns, GDP growth rate, etc.) through the control variables method.
0 comments