Tesla’s Worst Trading Day: Stock drops 15%|

Tesla saw its worst trading day of 2025, when its stock fell 15% on Monday. This is the biggest single day drop in 4 years. Due to this decline, Wall Street is worried about the decrease in demand for Tesla’s electric vehicles (EVs). But CEO Elon Musk does not seem to be worried at all and has assured investors that the company’s long term future is strong.

Elon Musk’s response:

Musk said in a post on Twitter (earlier Twitter), “Everything will be fine in the long term.”

Despite his positive statement, the decline in Tesla’s stock has worried investors, especially after recent analyst reports.

Negative Predictions by Analysts:

Joseph Spak of USB Group AG:

He has significantly lowered Tesla’s delivery estimates.

He now predicts that Tesla will sell just 367,000 vehicles in the first quarter, which is 16% less than his earlier estimate.

Spak no longer expects Tesla’s annual sales to grow in 2025, but says sales could decline by 5%.

Robert W. Baird & Co. ke Ben Kallo:

He also cut Tesla’s delivery estimates on March 6, because of demand concerns and production disruptions due to Model Y refresh.

Spak also said that delivery wait times on Tesla’s website in China are only 2-4 weeks, which is a sign of low demand.

Challenges for Tesla:

Political Backlash in Germany:

Tesla vehicle registrations in Germany have fallen by 70% in the first two months of 2025.

One reason for this is Elon Musk’s involvement in Germany’s federal elections.

Tesla Stock Performance:

Tesla’s stock has fallen by 45% since the beginning of 2025, which is expected to increase after Donald Trump’s US visit in November 2024. All gains after winning the presidential election have been erased.

The 15% drop in Tesla stock on Monday is the biggest single-day decline since September 2020.