Tesla Discounts Could Perk Up Sales And Lay Foundation For New Models, Higher Share Price


  • The 65% decline in the value of Tesla shares since late 2021 represents for investors a multifactorial puzzle to decipher, a large component of which is macroeconomic.
  • Record Q4 revenue and beat on earnings lay foundation for more capacity and path to “affordability.”
  • Evidence suggests that TSLA management’s recent decision to cut prices in the face of competitive and economic forces weighing on demand is stimulating consumer interest.
  • The company and its chairman face serious legal challenges that could impede the stock’s recovery, given growing consumer interest in battery-electric vehicles (BEVs) worldwide.
  • Shares remain a hold, positive factors such as brand equity and price-cutting held at least partially neutralized by adversities.
Tesla Earns $46 Million In Q4 As Stock Soars Amid Apple Rumors

Tesla Showroom. Q4 Financial Results Impressive.

Joe Raedle

The Federal Reserve’s decision in early November 2021 to pursue price stability by tightening credit hurt the entire stock market, though disproportionately tech and growth stocks like Tesla (NASDAQ:TSLA) that rely on low interest rates to facilitate future as

Disclosure: I/we have a beneficial long position in the shares of TSLA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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