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Tesla Raises Model S, X Prices as Stock Rebounds From a 10% Decline on Thursday

Benzinga ·  Apr 21, 2023 04:50  · Latest

$Tesla (TSLA.US)$ has reversed some of the downward price adjustments for its premium model vehicles, as the stock turned higher in premarket after slumping nearly 10% in reaction to the company's quarterly results on Thursday.

What Happened: Updated price information available on Tesla's website showed price hikes ranging from 2.4% to 4.3% for the Model S and Model X vehicles. It was only in early April that the electric vehicle maker took down the prices of these two models by about 5% each.

Here's the updated pricing for each of the two variants of the two models.

Model S

  • Dual-motor all-wheel drive, or AWD, Model S: $87,490, up 2.94% from $84,990

  • Tri-motor, AWD Model S Plaid: $109,490, up 4.29% from $104,990

Model X

  • Dual-motor AWD Model X: $97,490, up 2.63% from $94,990

  • Tri-motor, AWD Model X Plaid: $107,490, up 2.38% from $104,990

Incidentally, Tesla lowered prices of all three variants of the Model Y vehicles and the base model rear-wheel-drive Model 3 late Tuesday, a day ahead of releasing its quarterly results.

Why It's Important: On Wednesday, Tesla's stock fell significantly due to lower-than-expected automotive gross margin in the first quarter. During an earnings call, CEO Elon Musk said the company could sell its cars without making a profit and still make money because of its self-driving software.

Analysts doubt FSD's expansion this year, with Gene Munster from Deepwater Asset Management predicting it will take 3-5 years. Munster warned that Tesla could harm its long-term objectives by sacrificing short-term gains.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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