Tesla's Stock Slump Continues Amid Weaker Sales Growth Forecast

Ark Invest Buys More Shares as Analysts Call for Strategic Changes

Tesla's shares slumped by more than 12% after the company warned its sales growth would be weaker this year than in 2023, wiping around $80bn off the company's stock market value.
Tesla's annual earnings also came in below Wall Street expectations, with the company citing price cuts, higher research and development spending, and costs associated with increasing production of the new Cybertruck as factors eating into its profit margin.
CEO Elon Musk warned investors that Chinese competitors 'will pretty much demolish most other car companies in the world' unless trade barriers are put in place.
Despite the slump in Tesla's stock, Cathie Wood's Ark Invest bought 177,870 shares worth $32.48 million.
Analysts have called for Tesla to stop cutting prices, provide more clarity on AI initiatives, and secure outside capital to fund Musk's other venture, X.