Reportedly, Tesla (NASDAQ:TSLA) has raised prices for some of its vehicles for the second time this month after a flurry of price reductions beginning in January. The new prices are eligible for U.S. customers.
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This time, the business raised the prices for all Model S, X, and Y EV variants; however, the Model 3 pricing was left unchanged. Despite this, the costs are still lower than they were in January 2023.
Prior to the price rises this month, the company had raised the prices of its high-end Model S and X in April. These price hikes are probably going to make buyers more unsure about future price increases, which will increase demand for these automobiles.
It’s important to note that the price increases occurred after Tesla released its first-quarter earnings on April 19. At the earnings call, Tesla said that it prefer sales volume growth over margin growth. However, investors’ worries over declining margins led to a roughly 10% drop in the price of TSLA shares.
Recent Developments
In an unexpected move yesterday, Tesla CEO Elon Musk tweeted that he had hired a new CEO for Twitter. Further, to create excitement among investors, he avoided giving a name but did say, “She will be starting in ~6 weeks!”
Meanwhile, The Wall Street Journal reported that NBCUniversal’s advertising head, Linda Yaccarino, is in discussions to accept the position.
Are Tesla Shares a Good Buy?
Analysts are cautiously optimistic about TSLA stock, with a Moderate Buy consensus rating based on 15 Buys, 11 Holds, and four Sells. The average price target of $203.64 implies upside potential of 18.3% from the current level.
Investors looking to invest in this major stock might want to follow Robert W. Baird analyst Ben Kallo. Based on TipRanks’ data, he is the most accurate analyst for Tesla stock. Replicating Kallo’s position for one year would result in 59.3% of transactions generating a profit, with an average return of 23.78% per trade.
