Is interesting this is what is always pointed to, but not when it’s about EV sales continuing in the EU. Doesn’t seem to hurt the CT5 Blackwing, it yet to be released Lexus GX550 with waitlists etc.
This sub cant handle people maybe not wanting EVs over every other car.
Yeah and might I suggest their discounting might not be long term sustainable and say thus is war chest burning to keep the sales and delivery numbers up, since that seems to be what company leadership cares about. Maintaining markets have and delivery numbers.
Don’t be surprised once the economic situation improves, the Tesla prices will come right back up to match the increased demand and customer ability to pay.
Yes, if demand increases, Tesla will increase prices. They’ve made it very clear that they adjust their prices to manage their sell through of their cars. They have less parking lot space to maintain an inventory than the legacy OEMs and their dealership network. So Tesla has to be more nimble than the OEMs on this issue.
However, based on breakdowns of the car costs and their own financial disclosures, Tesla has excellent margins on their vehicles (and that is before they get to the 100% margin part of their business where they sell you a software update to get stuff like FSD). So with the current cost of lithium (which is back to historically normal pricing) there seems to be little problem for Tesla to keep this level of pricing and still cash flow enough to support the car part, expensive R&D like cyber truck, and silly Elon stuff like buying Twitter. Cash on the balance sheet increased from $23 billion to $26 billion last quarter. I would guess that current pricing is sustainable from a cash flow perspective and Tesla certainly says in its public reports to shareholders that it is sustainable.
Cars are expensive and high interest rates damage sales
Is interesting this is what is always pointed to, but not when it’s about EV sales continuing in the EU. Doesn’t seem to hurt the CT5 Blackwing, it yet to be released Lexus GX550 with waitlists etc.
This sub cant handle people maybe not wanting EVs over every other car.
Tesla is competing on the same field.
Yeah and might I suggest their discounting might not be long term sustainable and say thus is war chest burning to keep the sales and delivery numbers up, since that seems to be what company leadership cares about. Maintaining markets have and delivery numbers.
Don’t be surprised once the economic situation improves, the Tesla prices will come right back up to match the increased demand and customer ability to pay.
Yes, if demand increases, Tesla will increase prices. They’ve made it very clear that they adjust their prices to manage their sell through of their cars. They have less parking lot space to maintain an inventory than the legacy OEMs and their dealership network. So Tesla has to be more nimble than the OEMs on this issue.
However, based on breakdowns of the car costs and their own financial disclosures, Tesla has excellent margins on their vehicles (and that is before they get to the 100% margin part of their business where they sell you a software update to get stuff like FSD). So with the current cost of lithium (which is back to historically normal pricing) there seems to be little problem for Tesla to keep this level of pricing and still cash flow enough to support the car part, expensive R&D like cyber truck, and silly Elon stuff like buying Twitter. Cash on the balance sheet increased from $23 billion to $26 billion last quarter. I would guess that current pricing is sustainable from a cash flow perspective and Tesla certainly says in its public reports to shareholders that it is sustainable.
Tesla also received federal grants that are not available anymore while building out their entire company on top of the $7,500 per vehicle subsidy.
Biden introduced a loophole in the bill to allow the same credit for hybrids.
So? GM and Chrysler were literally plucked from bankruptcy by the federal government.
What federal grant? You mean the $400m loan They repaid early, the same loan system that’s chucked literally ten billion dollars at Ford and GM?
That federal grant?
Their customers tend to be wealthier.
Vs other car buyers? Sure. Vs other EV buyers? Doubt it.
Compared to the people who would buy an EV from a Detroit automaker.
Volvo, Audi, Nisan, VW, Hyundai/Kia exist.
Yes they do. Read the article. The “big car makers” in the title of the article refers to the American car makers.
“The big-name EV companies of the future in the US may very well be Tesla, Rivian, Hyundai-Kia and Volvo.”
Lol people downvoting you because they know it’s true