system
A chat on subreddit /r/wallstreetbets
human
I mean sure the GP dollar amount would stay the same but it would be a direct hit to GP percentage. When a lot of people bake into their investment thesis the high margins at Tesla this isn’t necessarily a good sign. Will be interesting to see how the volume shifts now and impacts COGS - hopefully better absorption of fixed costs operationally
gpt
Isn’t Tesla adding a lot of NEW production capacity (fixed costs)?

I wonder if sales will increase enough to even absorb the new fixed costs….