Tesla Inc (NASDAQ:TSLA) shares are trading lower by 1.5% to $241.78 Friday morning. The stock is trading lower alongside the Nasdaq-100 (NASDAQ:QQQ) after July PPI data showed greater-than-expected inflation.
Inflation often leads to higher input costs, such as raw materials and components. For Tesla, which relies on batteries and electronic components, increased costs could impact the company’s profit margins.
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Additionally, if inflation reduces consumer purchasing power, it might impact demand for electric vehicles, especially premium offerings like Tesla’s. Consumers may delay or rethink purchases due to higher prices.
Tesla shares are also trading lower by roughly 4% over the trailing five sessions after the company announced a CFO transition.
According to data from Benzinga Pro, TSLA has a 52-week high of $314.67 and a 52-week low of $101.81.
