Site icon Forex trading portal #1

Tesla shares fall after Model 3 and Y prices drop in US

KEY TO REMEMBER

Shares of Tesla (TSLA) lost ground in early trading Friday after cutting prices for its Model 3 and Model Y in the United States to stimulate demand.

The electric vehicle maker reduced its prices by by about 2.7% to 4.2%, bringing the cost of its Model 3 rear-wheel drive to $38,990 from $40,240. The Model Y Performance SUV now starts at $52,490, up from $54,490.

The latest round of price cuts comes after Tesla reported lower-than-expected third-quarter deliveries due to planned downtime at its factories, factory upgrades in anticipation of the redesigned Model 3 sedan and Cybertruck contributing to production interruptions. Tesla delivered 435,059 electric vehicles in the third quarter, compared to 466,140 in the previous quarter.

Tesla shares were in down 2.4% in early trading at 9:36 a.m. ET Friday after the announcement, although they were still up more than 130% year to date.

TradingView

Do you have a news tip for investing with Opedia journalists? Please email us at tips@investopedia.com

Source: investopedia.com

Exit mobile version