Tesla shares pop on better-than-expected delivery numbers

2nd Jul 2024 14:42

(Sharecast News) - Tesla shares were rising on Tuesday, after it reported a smaller-than-expected decline in vehicle deliveries for the second quarter on the back of strategic price cuts and incentives designed to boost demand.

The electric vehicle manufacturer delivered 443,956 vehicles between April and June, marking a 4.8% decrease compared to the same period last year, but a 14.8% increase from the first quarter of this year.

According to Reuters, analysts surveyed by LSEG had anticipated 438,019 deliveries.

The deliveries included 422,405 Model 3 and Model Y cars, and 21,551 units of other models such as the Model S, Cybertruck, and Model X.

During the same period, Tesla produced 410,831 vehicles.

Tesla's aggressive pricing strategy, which started over a year ago, included discounts and incentives like low-interest loans and affordable leasing options in markets such as the United States, China and Europe, Reuters said.

At 0947 EDT (1447 BST), shares in Tesla were up 5.51% on the Nasdaq at $221.46.

Reporting by Josh White for Sharecast.com.