It is seemingly impossible to keep Tesla (TSLA) -) down.
Despite multiple troughs over the past 18 months the stock has always fought back and is up nearly 94% year-to-date.
Still, shares are well off the all-time closing high above $407 per share it hit in November 2021.
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Demand for electric vehicles has never been hotter with Tesla delivering a record 466,140 new vehicles in the second quarter, a more than 80% year-over-year jump.
But to achieve those record deliveries Tesla has had to slash prices, a lot.
A new chart is circulating on social media showing just how steep Tesla's discounts have become and how they have trickled down into the secondary market.
The average price of a used Tesla is now over $26k lower than its peak price from July 2022. That's a 38% decline to $41,851, a new all-time low. $TSLA pic.twitter.com/w7tX3Gd8C9
— Charlie Bilello (@charliebilello) August 23, 2023
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CEO Elon Musk has admitted that his company's strategy currently is to sacrifice margins in the name of building market share, and the strategy has been working.
Tesla sold more than 336,000 vehicles in the first half of the year, according to data from Motor Intelligence. The next closest competitor, Hyundai, sold slightly more than 38,000 electric vehicles during that same period.
"One day it seems like the world economy is falling apart, next day it's fine. I don't know what the hell is going on. We're in, I would call it, turbulent times," Musk said during the company's earnings call.
"I think it makes it does make sense to sacrifice margins in favor of making more vehicles."
Tesla shares were down over two-percent in early market trading Thursday morning.
"We are focusing on cost reduction, new product development that will enable future growth, investments in R&D, better vehicle financing options, continuous product improvement and generation of free cash flow," the company said in its most recent earnings release.
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