Tesla’s shares have been in a tear since Donald J. Trump won the presidential election. Investors bet that the automotive industry will benefit from more than $ 250 million that its chief executive, Elon Musk, passed to support Trump’s campaign.
But an 8 % drop in Tesla’s stock on Tuesday, except for the elimination of what was left of this rally. Investors who once believed that Mr Trump could help to liquidate Tesla’s autonomous driving technology have been worried that Mr Musk spends a lot of time on Washington, while Tesla sales are falling.
They are also concerned that Mr Musk’s immersion in the right policy, including the approval of a far -right party in the German elections on Sunday, is alienating a significant number of buyers. In the United States, even some Republicans have worried about the cost of cutting and the cost of Mr Musk as the head of the so -called government efficiency.
The decline in shares, which has attracted Tesla’s market value below $ 1 trillion, threatened Mr Musk’s regime as the richest person in the world because much of his wealth is in Tesla stock. And reductions will mix further upheavals between investors and workers who are upset that Mr Musk has not formulated a plan to stop the stable market share in the United States, Europe and China.
The shares closed at $ 302.80 on Tuesday, the lowest of November 7, two days after the election. This was reduced by 37 % from the top of $ 479.86 at the end of December 17th.
Losses on Tuesday was at least partially reaction to a devastating decline in Tesla’s European sales, which were reduced by 50 % in January since the previous year, according to New-Car registrations agreed by the European Union of Car Manufacturers. Tesla sales declined in the region, even when the total market of electric vehicles increased by 34 %, according to a Union report on Tuesday.
Tesla’s performance has recently shaken the belief of some investors who have long been optimistic about the company’s prospects. Gary Black, chief executive of the future fund, who has 48,000 fans in X, told the social network on Sunday that he was “wrongly suspended” for Tesla “for four years now.”
Mr Black noted that Cybertruck Pickup sales, Tesla’s newest vehicle, were disappointing and that the company has been forced to reduce prices for 3 sedan model and Y Sport Utility to support sales by deeply reducing the deep profit.
However, he said his company was still in Tesla shares and that he was expecting to recover to $ 380 in six to 12 months.
