Tesla Stock Plunges 15 percent : Biggest Drop Since 2020 – Elon Musk Reacts
Tesla stock Plunges 15 percent on Monday, marking its worst trading day since 2020. Learn why Tesla shares are falling and how Elon Musk is reacting. Stay updated with the latest news headlines.
Tesla’s stock took a sharp dive on Monday, plummeting 15%—its worst trading day in over four years. The steep decline comes amid growing concerns over slowing demand for electric vehicles and political uncertainty surrounding CEO Elon Musk. This breaking news today has sent shockwaves through the stock market. [Read More on Tesla’s Market Trends]
Tesla’s Worst Trading Day Since 2020(Tesla Stock Plunges 15 percent : Biggest Drop Since 2020 – Elon Musk Reacts)
On Friday, Tesla wrapped up its seventh consecutive week of losses, marking the longest losing streak since its Nasdaq debut in 2010. The stock has fallen every week since Musk’s visit to Washington, D.C., sparking speculation about his involvement in the second Trump White House. Investors worldwide are closely watching this trending news in the world as it impacts global markets.
Tesla shares have now plunged over 50% since their December 17 high of $479.86, wiping out more than $800 billion in market value. Monday’s crash marked the seventh-worst trading day in Tesla’s history. Despite this, Musk remains optimistic, reassuring investors via X (formerly Twitter), stating, “It will be fine long-term.”
Analyst Downgrades & Falling Demand
Several analysts have downgraded Tesla’s stock due to weakening EV demand. UBS Group AG analyst Joseph Spak slashed his delivery estimate for Tesla, predicting only 367,000 vehicle sales in the first quarter—a 16% reduction from previous forecasts. He now expects a 5% decline in Tesla’s annual sales in 2025, contradicting the company’s bullish growth outlook. Such latest news headlines are keeping investors on edge.
Robert W. Baird analyst Ben Kallo also reduced his Tesla delivery forecasts on March 6, citing demand concerns and production disruptions related to the upcoming Model Y refresh. Spak further noted that Tesla’s short delivery wait times in China (just 2-4 weeks) indicate weaker demand. This breaking news today is shaping the future of EV markets worldwide. [Explore More EV Updates]
Political & Economic Headwinds for Tesla
Beyond demand struggles, Tesla is facing political and reputational challenges in key markets:
- Germany: Tesla vehicle registrations dropped 70% in the first two months of 2025, partly due to backlash against Musk’s involvement in the country’s federal election. Such trending news impacts global economies and market confidence. [Source]
- China: Tesla is struggling to compete with domestic EV giant BYD Co., with its Shanghai factory’s shipments falling 49% in February to just 30,688 units—its weakest month since July 2022.
Tariff Uncertainty Adds Pressure
Tesla’s stock also took a hit due to uncertainty over President Donald Trump’s tariff policies. Canada and Mexico play crucial roles in auto supply chains, and potential new tariffs could disrupt production and increase costs. This trending news in the world is causing ripple effects in the auto industry. [Read More About Global Market Trends]
Bank of America analysts reported a 50% drop in Tesla’s new vehicle sales in Europe in January, partly due to declining brand appeal and consumer hesitation as they wait for the refreshed Model Y.
Tesla’s Market Outlook
Tesla has now lost 45% of its value in 2025, erasing all post-election gains since Trump’s victory in November. Monday’s 15% plunge—the worst since September 2020—has investors questioning the company’s near-term trajectory. However, Musk remains confident in Tesla’s long-term growth, despite the ongoing challenges. As the latest news headlines dominate discussions, investors are searching for stability in the volatile stock market.
Conclusion: While Tesla faces significant headwinds, including falling demand, analyst downgrades, and political pressures, its long-term future remains uncertain. Investors should watch for upcoming developments, including first-quarter delivery reports and updates on new vehicle models. Stay updated with breaking news today on the latest stock movements and market trends.
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