Why Tesla's stock has given up nearly all of its Trump election gains

Published On Feb 27, 2025, 8:46 AM

Tesla has experienced a significant decline in stock value, losing approximately 40% since its all-time high in December 2024, almost wiping out all gains following President Trump's election. Factors contributing to this decline include disappointing sales and earnings reports, increasing regulatory scrutiny on its autonomous features, and CEO Elon Musk’s controversial political activities which seem to alienate investors and potential customers. Despite the downturn, there are some positive developments ahead as Tesla plans to unveil new models and expand testing of its robotaxi service, which could help revive investor interest.