<div id="readability-page-1"><div><div>Future Fund LLC's managing director, Gary Black, says that a smaller Tesla Inc. TSLA pickup truck would significantly boost the EV giant's total addressable market.Check out the current price of TSLA stock here.What Happened: &#34;A smaller Tesla pickup would be a compelling new form factor that could significantly expand Tesla TAM and earnings potential,&#34; the investor said in a post on X on Tuesday.He cited an interview of Tesla's VP of vehicle engineering, Lars Moravy, at the X takeover event, where Moravy hinted at a smaller pickup truck for the company, saying it was in the design studio.&#34;We estimate a smaller pickup could add 420K incremental units per year to Tesla deliveries, with little or no cannibalization given the current limited consumer appeal of the Tesla Cybertruck,&#34; Black said in his post.Black also called Cybertruck a &#34;disaster&#34; and said it was &#34;unprofitable&#34; for Tesla, citing poor sales of the pickup truck. &#34;It's too big, too expensive, and impractical for most customers who want pickups,&#34; the investor said.He added that a smaller, $50,000 pickup truck could capitalize on Tesla's brand and earn the company &#34;15-20% margins&#34; on a global scale. However, the company would need to listen to the consumers instead of letting &#34;engineers decide what's best for them.&#34;Why It Matters: The comments came when Tesla's co-founder, Martin Eberhard, had criticized the company's decision to scrap plans for an affordable $25,000 model in favor of the Cybertruck, which he said looked like a &#34;dumpster.&#34;Besides Eberhard, Black had also criticized Elon Musk and Tesla for the affordable variant in the Tesla lineup being a scaled-down version of the Model Y, which the investor said would lead to cannibalization.Black had also criticized the company's Q2 earnings call, labelling it a disaster and calling the Robotaxi &#34;kabuki theater&#34; following a disappointing quarter for Tesla, which saw sales tumble.Elsewhere, despite the criticism, Musk remains optimistic about Tesla and has hinted that a $20 trillion valuation for the company could be possible in the future, but warned that such a feat would need extreme execution.Tesla scores well on Momentum and Quality, while offering satisfactory Growth, but poor Value. For more such insights, sign up for Benzinga Edge Stock Rankings today!Check out more of Benzinga’s Future Of Mobility coverage by following this link.<ul> <li>Elon Musk’s Tesla, LG Energy Solutions Sign $4.3 Billion Battery Deal: Report</li> </ul>Photo courtesy: Jonathan Weiss / Shutterstock.com</div></div></div>

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Gary Black, managing director of Future Fund LLC, argues that a smaller Tesla pickup truck could significantly enhance the company's earnings potential and total addressable market. He estimates it could add 420,000 units annually without cannibalizing the Cybertruck, which he deems a 'disaster' due to its impracticality and poor sales. Black suggests a smaller, $50,000 model could yield 15-20% margins, emphasizing the need for Tesla to prioritize consumer feedback over engineering decisions. His comments follow criticism from Tesla co-founder Martin Eberhard regarding the company's product strategy.

- Gary Black, managing director of Future Fund LLC, argues that a smaller Tesla pickup truck could significantly expand the company's total addressable market and earnings potential.  
- He estimates that this new model could add 420,000 incremental units to Tesla's annual deliveries, while criticizing the current Cybertruck for its size and impracticality.  
- Black emphasizes the need for Tesla to prioritize consumer feedback over engineering decisions to enhance profitability and market appeal.

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Gary Black Says A Smaller Tesla Pickup Truck Would Significantly Expand Earnings Potential, Calls The Cybertruck A 'Disaster'