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We recently compiled a list of the 10 Firms Suffer Steep Downfall on Monday. In this article, we are going to take a look at where Tesla, Inc. (NASDAQ:TSLA) stands against the other stocks.
Ten companies kicked off Monday’s trading in a bloodbath, mirroring the broader market pessimism, with valuations slashed by double digits mostly due to investor caution brought about by key economic uncertainties.
Wall Street’s main indices all fell in the red, with the tech-heavy Nasdaq recording the steepest downfall with 4 percent.
The S&P 500 declined by 2.7 percent, while the Dow Jones dropped by 2.08 percent.
We have identified the 10 worst-performing companies on Monday and detailed the reasons behind their drop.
To come up with the list, we considered only the stocks with $2 billion in market capitalization and $5 million in trading volume.
Tesla, Inc. (NASDAQ:TSLA)
Tesla, Inc. (NASDAQ:TSLA) suffered its steepest drop in five years, slashing 15.43 percent on Monday to close at $222.15 apiece, as investors sold off positions to mitigate risks from recession fears and uncertainty over President Donald Trump’s tariff plans.
With higher tariffs now in place for Canada and Mexico, which are two of the key markets of automakers including Tesla, Inc. (NASDAQ:TSLA), analysts turned even more cautious over the potential impact of the new levied taxes on production, sales, and retail prices.
Monday’s decline marked the third consecutive day of sell-off for the company, as well as its seventh straight week of losses from its highest price of $479.86 on December 17.
The firm's current stock price now represents a 53.7-percent cut, or more than $800 billion in market capitalization.
Asked how Tesla, Inc. (NASDAQ:TSLA) founder Elon Musk was juggling his business and role as chief of the Department of Government Efficiency, Musk said in an interview with Fox Business that he was doing so “with great difficulty.”
Overall TSLA ranks 6th on our list of Monday's worst performing stocks. While we acknowledge the potential of TSLA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TSLA but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.