Tesla’s stock fell 5% to $267.79 per share in New York trading amid weak investor sentiment fueled by global anti-Tesla protests. The stock opened at $282.76 per share but declined throughout the session, hitting an intraday low of $264 and a high of $276.30.
On Thursday, UBS analyst Joseph Spak maintained a “Sell” rating on Tesla with a price target of $225. The company, valued at $860.93 billion, reported a 13% drop in first-quarter sales—its steepest decline ever—while rival BYD saw a 60% revenue surge during the same period. Tesla delivered 336,681 vehicles in the quarter, about 50,000 fewer than the same period last year, marking its weakest performance in nearly three years.
BYD has frequently outpaced Tesla in quarterly EV sales and is on track to surpass Tesla in full-year sales by 2025 if current trends persist. Despite this setback, Tesla remains resilient and continues to outperform many traditional automakers.
Adding to market uncertainty, looming tariffs have raised concerns, but Tesla’s global production strategy may shield it from severe impacts. With Gigafactories operating in Shanghai, Berlin, and Austin, Tesla is positioned to reduce reliance on imports and mitigate tariff risks.
Beyond vehicle production, Tesla’s focus on reducing costs and improving battery efficiency has solidified its standing in the green energy sector. The company’s emphasis on sustainable energy and EV market leadership keeps it a top choice for investors, despite the broader market downturn.
However, Tesla faces growing resistance from consumers. Over the past weekend, anti-Tesla protests erupted worldwide, with demonstrators targeting showrooms in response to Elon Musk’s political ties, particularly his support for former U.S. President Donald Trump. In Europe, these protests have contributed to declining sales, with Tesla’s registrations in France dropping 36.83% in March as the broader market saw a 14.54% decline.
On the product side, Tesla introduced the new Model 3 Performance trim, featuring manufacturing and engineering enhancements to boost performance. The company also unveiled the Super Manifold V2 in the new Model Y, aimed at improving the vehicle’s heat pump system.
Meanwhile, speculation surrounding Musk’s possible departure from his political advisory role has added another layer of uncertainty. While a shift away from politics could lead to stock volatility in the short term, it might also allow Tesla to refocus on core operations in the long run.
As investors navigate ongoing trade policy shifts and market volatility, Tesla’s ability to adapt and maintain its industry leadership will remain a key focus.
