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Tesla Shares Sink

Musk's sales push by price cuts hurts margins

Tesla shares sank more than 6.8 percent on Thursday and dragged down other automakers after Chief Executive Elon Musk signaled the electric-vehicle maker will keep cutting prices to drum up demand even after taking a big hit to margins.

The stock was trading at $168.25, with at least 15 analysts lowering their price targets on Tesla. The company was set to lose around $50 billion in market value, if losses hold.

"Facing a volatile macroeconomic backdrop and weakening demand, Tesla continues to prioritize units over near-term profits," said analysts at Canaccord Genuity.

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