Tesla's profit margin is expected to fall

Tesla is expected to report lower profit margins amid doubts about its growth and product strategy. Tesla’s sales growth is slowing and that is expected to weigh heavily on Tuesday’s results. Tesla is expected to report its lowest gross margin in more than six years after a chaotic week that included layoffs and vehicle price cuts. Graham Tanaka, portfolio manager at Tanaka Growth Fund, said he liquidated his last position amid uncertainty around the Model 2 and slow production of the Cybertruck electric pickup truck. “We think there will be more risk in owning Tesla next year,” Tanaka said, adding that they don’t know how fast the Cybertruck will take off. Tesla CEO Elon Musk was expected to meet with Indian Prime Minister Narendra Modi on Monday and announce major investments in the car factory. However, Musk canceled at the last minute, citing Tesla’s “very heavy liabilities.”