Shares of Tesla gained today ahead of the electric car maker's first-quarter results, with analysts expecting its lowest gross profit margin in more than six years due to price cuts and slowing demand.A weak first quarter would represent the latest hit to the electric car-maker, which has seen its share price fall by nearly 43% so far this year.
Yesterday it announced price cuts in multiple markets - including Germany and China - as it tried to drum up demand and compete against an ever-growing list of rivals. We need your consent to load this rte-player contentWe use rte-player to manage extra content that can set cookies on your device and collect data about your activity. Please review their details and accept them to load the content.Manage PreferencesThat includes a push towards more affordable models, with the Dacia Spring selling in mainland Europe for €20,000, and companies like Ford and Volkswagen planning to launch compact models of their own in a similar price range.
Meanwhile its latest launch - the Cybertruck - has been beset with problems including a recall to fix an issue with its accelerator. "If anything about that is mentioned I think there will be a lot of interest - because there's an expectation this robotaxi would be released later in the summer and any more details about this, which could be a game-changer for Tesla... that does offer potential revenue streams to increase quite markedly in the future."