Donald Trump vows to 'buy a brand new Tesla' after stock slump

Published On Mar 11, 2025, 6:24 AM

Donald Trump announced that he will buy a new Tesla following a significant drop in the company's stock price, which fell over 15%. He attributed the decline primarily to boycotts from groups he calls 'radical left lunatics' targeting Tesla's owner, Elon Musk. However, stock analysts suggest the fall is due to concerns regarding Tesla's production targets and declining sales. Trump’s economic policies, which have created uncertainty among investors, could also be affecting stock performance. Additionally, there has been a recent downturn in the tech sector overall, impacting not just Tesla but other major companies like Nvidia and Amazon.

Stock Forecasts

TSLA

Negative

The recent drop in Tesla's stock price is concerning, especially given the production and sales issues. While Trump's support may temporarily generate interest, the underlying fundamentals of the company and investor sentiment associated with broader economic policies remain a larger concern. Therefore, the outlook still points towards potential further volatility and uncertainty for Tesla in the short to medium term.

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Musk's role in sweeping cuts to the federal workforce at the behest of Trump has led to protests in the U.S. against Tesla. About 350 demonstrators protested outside a Tesla electric vehicle dealership in Portland, Oregon, last week, while nine people were arrested during a raucous demonstration outside a New York City Tesla dealership earlier in March. Musk is spearheading the Trump administration's so-called Department of Government Efficiency, or DOGE.