Tesla’s New Electric Truck Is Just A Distraction

Investing.com - Last Thursday, Elon Musk unveiled the much-hyped Tesla (NASDAQ:TSLA) Semi truck, as well as a new Roadster.The truck comes with Enhanced Autopilot, can travel 500 miles between charges, haul 80,000 pounds, and has a special design that makes jackknifing impossible. It also reportedly has faster acceleration and better uphill performance than diesel-powered trucks.The new roadster has three motors, a 620-mile range, and can go from zero to 100 miles per hour in 4.2 seconds. But before investors jump on the Tesla bandwagon, they should pause to consider a few things. First, Musk said production of the truck and Roadster would begin in 2019 and 2020 respectively, still a ways away. Second, Tesla already faces competition in the electric truck market, as Cummins (NYSE:CMI) and Daimler have already announced fully-electric models. Finally, the electric truck and new sports car might serve as a distraction, but remember: when it comes to delivering their Model 3 sedan, the company has been in self-described production hell.Tesla has yet to be profitable and investors should want to see more than shiny new prototypes before really getting excited.