Tesla had gained a formidable position as a stalwart in EV mobility over the years, but the recent global EV sales slow down and a few other concerns seem to have been plaguing the growth spurt that Elon Musk had been working for. As per a recent news report Tesla’s stocks have tumbled down 8% on Tuesday, this downfall has caused the company’s evaluation to fall below $1 trillion for the first time Since November.
As per the key figures that have been shared by European Automobile Manufacturers Association Tesla sales have dropped below 45% in Europe. This is a significant blow to the manufacturer considering that there has been a 37% jump in the overall sales of EV in Europe.
Reason Behind The Fall
A dip in Tesla’s global deliveries had been the prime reason behind the sales declines last year. This decline had laid considerable pressure on CEO Elon Musk’s directives to roll out Lower Priced models and development of the Autonomous cars that he says underpins Tesla’ Future.
Tesla’s share has dropped to $305 leaving the company with a market evaluation of $981 billion. While this new figure might be a little lower than that of the previous evaluations, Tesla’s worth is still twice over the combined value of GM, Ford Motor, Volkswagen and Toyota motor.
Investors Concerns
Investors have shared their concern that Musk’s role in the government directing the radical downsizing of the federal government at the behest of the US President Donald Trump has potentially taken off his focus from the company directives. Beyond that they have also shared concerns as to how this might tarnish the image Tesla has carved over the years.
Beyond Elon’s involvement in the US Government, over investment in Ai directives has also become a cause of concern for Tesla Investors. Beyond Tesla such investment decisions have also impacted the growth of Brands such as Microsoft and Meta platforms.
Tesla’s overall plans showcase the launch of a new, cheaper Electric vehicle and as per Elon’s promise a possible autonomous paid car service system as well. With the recent plummet that has been reported Tesla’s share remains up 51% over the past 12 months.
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