Tesla cuts Model S price by $3,000 amid sales slide
Sales of Tesla's top models have declined by nearly half since 2018
New Street Research managing partner Pierre Ferragu argues within the next 10 years, Tesla’s stock is likely to perform like Amazon’s stock.
Tesla has cut the price of the Model S by $3,000 as sales of the flagship sedan continue to decline.
The move follows a $5,000 price drop in May.
The Model S Long Range Plus now starts at $71,990 in the U.S. while the Performance version lists for $91,990.
Unlike legacy automakers, Tesla relies on base price adjustments rather than rebates to incentivize sales. The price of the Model S was also reduced 3% in China.
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Tesla reported 15,200 combined global deliveries for the Model S and Model X SUV in the third quarter, which was down nearly half from the 27,660 recorded in 2018. Overall Tesla deliveries set a quarterly record of 139,300 on the strength of the lower-priced Model 3 and Model Y.
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Tesla recently improved the range of the Model S Long Range Plus to 402 miles per charge, which is the highest of any electric car on sale today.
The price for the new top of the line Model S Plaid high-performance version that goes on sale in late 2021 with a claimed 520-mile range was not changed and remains at $139,990.
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