Part 6/13:
Additionally, inventory levels for Model 3s remain higher than for Model Ys in the U.S., partly due to excess inventory from earlier stockpiling of the 4680 battery-enabled Model Y. A smoother supply chain and better inventory management would likely lead to more stable pricing and less volatility in the market.
Market Anticipation and Regulatory Factors
Tesla's strategic timing around price cuts is notable. The recent reductions were announced after the stock market closed, including after-hours trading, leaving the market three days to digest the news. Given the holiday during this period, analysts and investors focus keenly on upcoming earnings calls to assess the impact on gross margins and overall profitability.