Tesla Inc (NASDAQ:TSLA) shares are trading lower Wednesday, adding to losses of more than 8% over the last week. The stock appears to be facing selling pressure due to continued price cuts from the EV maker.
What To Know: Tesla on Tuesday cut prices for its Model Y vehicles across several countries in Europe. According to CNBC, the EV maker lowered prices in Germany, France, Norway and the Netherlands by as much as 8%.
In Germany, the Model Y rear-wheel drive model was discounted by 4.2% and the Model Y Long Range model was discounted by 8.1%. In France, Tesla cut prices by as much as 6.7%. In the Netherlands, Tesla lowered prices by up to 7.7% and in Norway, prices were lowered by as much as 7.1%
The news comes after Tesla cut prices on its vehicles in China again last week. The EV maker slashed prices on some of its vehicles by as much as 6% amid increasing competition in China.
Tesla is set to report its fourth-quarter financial results on Jan. 24. The company is expected to report earnings of 74 cents per share on quarterly revenue of $25.515 billion, according to estimates from Benzinga Pro.
Last quarter, Tesla reported its smallest profit in two years and missed Street expectations on both the top and bottom line for the first time since 2019, according to Benzinga Pro.
Investors will be paying close attention to margins when the company reports next week given the continued price cuts from the EV maker. Total operating margins came in at 7.6% in the third quarter, down significantly from 17.2% on a year-over-year basis.
Check This Out: Warren Buffett-Backed BYD Has Already Surged Past Tesla In Sales — Now It Has A $14B Game Plan For Making EVs More Intelligent
TSLA Price Action: Tesla shares were down 2.77% at $213.84 at the time of publication, according to Benzinga Pro.
Photo: courtesy of Tesla.
