Korea’s secondary battery stocks fall on Tesla’s weak Q3 earnings

[Courtesy of Tesla]

South Korean secondary battery stocks plunged Thursday after U.S. electric vehicle (EV) giant Tesla Inc. announced weaker-than-expected earnings for the third quarter.

Shares of LG Energy Solution (LGES) were trading 2.69 percent lower at 452,500 on Thursday morning. LGES supplies cylindrical batteries for Tesla’s Model 3 and Model Y vehicles.

Shares of POSCO Future M Co. were also trading at 320,500 won ($236.4), down 4.04 percent from the previous session’s closing, while those of LG Chem Ltd. at 491,000 won, down 2.96 percent, Samsung SDI Co. at 494,000 won, down 3.52 percent, and SK innovation Co. at 147,100 won, down 0.07 percent.

On the tech-heavy Kosdaq, shares of EcoPro BM lost 4.01 percent to 239,500 won on Thursday morning and L&F Co. 4.13 percent to 155,500 won.

Shares of S-Connect Co., which supplies parts to Samsung SDI, also fell 4.06 percent to 1,703 won.

On Wednesday, local time, Tesla announced that it posted $1.85 billion in net profit based on the generally accepted accounting principles for the third quarter, down 44 percent from the same period a year ago.

Its adjusted earnings per share (EPS) stood at $0.66, hovering below the average consensus of $0.73 compiled by financial data tracker London Stock Exchange Group.