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Tesla (TSLA) shares are under pressure as the electric vehicle (EV) pioneer's stock records its first eight-week decline.
Morning Brief co-hosts Brad Smith and Madison Mills recap what investors need to know about Tesla's latest price action.
To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.
Tesla, it's back in the red today. It's down pre-market by about 1 and 3/4% after attempting to snap its losing streak here. Gains of 3.9% Friday, not enough to push Tesla into positive territory last week, making for the stock's first ever, get this, eight weeks straight decline. And Tesla shares are down 38% year to date here. Uh we know that Elon Musk has certainly been trying to garner even more fanfare despite his annexation to the White House and President Trump right now. Uh and that has backfired in recent weeks. And so we've seen some of the gains that had been in place since the election essentially evaporate at this point in time. And it's a larger question of, okay, what will the demand profile look like? Not just here in the US, but in other parts of the world too, where Musk is, um, where buyers of vehicles are increasingly critical of Musk.
And this comes to your point, Brad, amid buyers around the world switching to homegrown brands. We saw on Friday Tesla announcing that they're going to have a six-seater Model Y available later this year in China. As we have seen their sales under pressure in China, in part due to a lack of ability, availability of more models. So perhaps that is a catalyst moving them to the upside, but again, Tesla continuing to be the biggest laggard of the MAG 7 year to date.