Why Some Investors May Be Disappointed in Tesla's Deliveries
Electric-car maker Tesla (NASDAQ: TSLA) announced some impressive vehicle delivery numbers over the weekend. Deliveries soared 36% year over year. Not only is this impressive in its own right, considering the uncertain and challenging operating environment, but it notably marks an acceleration in the company's previous quarterly growth rate. Deliveries grew 31% year over year in the fourth quarter of 2022.
So why did Tesla's stock price fall sharply on Monday, the first trading day after the deliveries were released? The pullback likely boils down to two things: high expectations and underwhelming growth in the context of Tesla's recent aggressive price cuts.
Tesla said on Sunday that it delivered a total of about 423,000 vehicles. While this is up significantly from the approximately 320,000 vehicles delivered in the year-ago period, it may be an underwhelming figure in the context of Tesla's recent price cuts. Earlier this year, prices for some models were reduced as much as 20%.
Source Fool.com
