Tesla Stock Falls 45% as EV Sales Decline and Robotaxi Hopes Face Scrutiny

The electric carmaker's valuation remains high despite slowing sales, political controversies, and unproven autonomous vehicle promises.

Tesla's market value has dropped 45% since December, erasing gains linked to CEO Elon Musk's support for President Donald Trump’s election victory.
Investors remain divided over Tesla's valuation, which heavily relies on speculative future revenue from robotaxis and humanoid robots rather than current EV sales.
Tesla's EV sales have slowed, with the Cybertruck significantly underperforming expectations and price cuts failing to reignite demand in competitive markets like China and Europe.
Musk's political involvement, including mass firings as a senior Trump advisor, has raised concerns about distractions from Tesla's core business and alienated some customers.
Analysts question Tesla's reliance on camera-only technology for autonomous vehicles, with safety concerns and competition from firms like BYD and Waymo intensifying.