Tesla has suffered a significant downturn in its stock price, dropping almost 40% since the beginning of the year. While competition and sales declines in key markets like China and Western Europe contribute to this slump, the absence of Elon Musk's guiding narrative is arguably the most significant factor. Investors have shifted their expectations from Tesla's dominance in the electric vehicle market to its future in self-driving and AI technologies, but the company's connection to Musk remains critical for its investor promise and perception.
Tesla has always been a 'story stock,' meaning its price depends more on narrative than economic fundamentals—momentarily, that narrative is faltering due to Musk's absence.
With a nearly 40% drop in stock price since January, Tesla faces declining sales, fierce competition in China, raising concerns about its future as an EV leader.
Collection
[
|
...
]