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prettychill | 3 years ago

Aren't they just back to prices 2-3 years ago?

Also, do people really think that cutting profit margins is bullish for Tesla?

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Kirby64|3 years ago

If prices stay the same after years, it means price is going down overall due to inflation (even when inflation is lower, it's still 2-3% usually). So, although prices are just going back down to 'normal', they're lower.

Also, this is after basically every single other EV manufacturer has raised prices significantly citing profitability issues. Given Tesla's margins, they can afford to drop their prices and still maintain margins that are positive (possibly, significantly positive).

I'd say it's bullish. Anecdotally, everyone in my circle basically had written off Tesla because of Musk's antics plus the cars seemed to be pricing evenly (or slightly above) to other EVs on the market. However, after the price drops, I'm seeing a LOT of people saying they've reconsidered since the deal is so good compared to other EVs.