Tesla Inc (NASDAQ:TSLA) could be finished with the “price discovery” phase of its recent pricing strategy, according to analysts at Canaccord Genuity (TSX:CF, LSE:CF).
Earlier in May, the electric vehicle manufacturer raised its prices for the second time in less than two weeks in the United States and other markets after cutting prices six times since the beginning of 2023.
Analysts at Canaccord called these Tesla price hikes “an interesting reversal in trend — at least for now.”
But “let’s see how long it lasts,” the analysts cautioned.
“These price increases were not significant, but they were widespread across multiple geographies and may indicate that Tesla is done with the ‘price discovery’ phase of its recent pricing strategy,” analysts wrote.
This week, Tesla hiked the prices of its Model 3/Y variants by nearly $250 in the US. “While a negligible amount, we find the shift interesting given the flurry of US price reductions since the beginning,” Canaccord noted.
Along with raising prices Stateside, Tesla has raised prices in China, Canada, South Korea and Denmark.
Canaccord has a Buy rating on Tesla along with a US$257 price target, both of which are unchanged.
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