QUESTION:
What is the current outlook of Tesla stock?
RESPONSE:
The current outlook for Tesla stock appears to be mixed. Tesla’s stock has experienced significant volatility recently. It has fallen for the past five trading days, with a notable decline of over 6% on a recent Tuesday, partly due to competition from Chinese rival BYD in AI-enabled autonomous driving[1]. Additionally, Tesla’s stock price has slid for five straight days, falling 17% over that stretch to $328.50, wiping out over $200 billion in market cap[2].
Despite these declines, Tesla’s stock is still up about 30a since Election Day, although the initial rally has lost steam as the company’s fourth-quarter earnings fell short of Wall Street consensus forecasts and its car sales in Europe and China declined[3]. Furthermore, Tesla’s stock is up more than 90% over the last year, including a 43% gain since the November election[4].
Overall, while there are challenges and recent declines, Tesla’s stock has shown resilience over the past year, but the outlook remains uncertain due to competitive pressures and financial performance concerns.
References
[1] CNBC Daily Open: Tesla wobbles as BYD gets ahead in self-driving and Elon Musk is everywhere [CNBC]
Tesla shares have fallen for the past five trading days, plunging over 6% on Tuesday as Chinese rival BYD appears to be eclipsing the company on AI-enabled autonomous driving. https://www.cnbc.com/2025/02/12/cnbc-daily-open-tesla-wobbles-as-byd-gets-ahead-in-self-driving.html
[2] Tesla drops 7% after BYD partners with DeepSeek, Musk adds to DOGE distractions with OpenAI bid [CNBC]
Tesla’s stock price has slid for five straight days, falling 17% over that stretch to $328.50, and wiping out over $200 billion in market cap. https://www.cnbc.com/2025/02/11/tesla-drops-7percent-on-self-driving-competition-musk-openai-distractions.html
[3] Elon Musk’s Now $42 Billion Poorer This Month—As Scrutiny On Trump Ties Grows [Forbes]
Tesla stock is still up about 30% since Election Day, though the initial rally has lost steam as the company’s fourth-quarter earnings fell short of Wall Street consensus forecasts and its car sales in Europe and China declined. http://www.forbes.com/sites/dereksaul/2025/02/11/elon-musks-now-42-billion-poorer-this-month-as-scrutiny-on-trump-ties-grows/
[4] Elon Musk’s Shaky Public Perception Poses Tesla Sales Obstacle, Analyst Says [Forbes]
And yet, Tesla stock is up more than 90% over the last year, including a 43% gain since the November election. https://www.forbes.com/sites/dereksaul/2025/02/10/elon-musks-shaky-public-perception-poses-tesla-sales-obstacle-analyst-says