Tesla’s stock fell 6% after the company reported its first year-over-year decline in deliveries in over a decade. The automaker sold fewer cars than expected in the fourth quarter, a result that may test the valuation of the company.
Elon Musk has been courting President-elect Donald Trump, and speculation surrounding their relationship has led some to wonder if it could benefit Musk’s businesses. However, this is separate from Tesla’s current financial performance.
Analysts point out that Tesla must be more than just a car company to justify its high valuation. The company’s future prospects are tied to the success of its AI and autonomous driving initiatives. With Musk predicting increased auto sales for this year, the coming weeks will show whether this vision can drive the stock up or down.
Despite the dip, some investors remain optimistic about Tesla’s potential, citing the benefits of being an early mover in emerging technologies like AI and autonomous driving. However, with federal investigations ongoing into Musk’s companies, any positive momentum is likely to be short-lived.
Source: https://finance.yahoo.com/news/teslas-day-job-still-matters-even-if-its-2025-story-is-about-something-more-morning-brief-110031051.html