- Tesla Inc. (TSLA) shares fell 2.60% to $261.57 in Wednesday’s premarket as analysts predict a first-quarter delivery drop to 372,410 vehicles, a 3.7% decline from 386,810 last year, though some foresee a steeper 12% slide.
- Elon Musk’s advisory role to President Trump has fueled protests, vandalism at Tesla stores, and a surge in trade-ins—further complicating his efforts to revive growth amid sluggish demand and intensifying EV competition.
- The refreshed Model Y, launched in China in February and the U.S. and Europe in March, aims to boost sales, but Tesla’s figures slipped in key markets like France and Sweden for three months through March.
Tesla Inc. (TSLA) shares slipped 2.60% to $261.57 in Wednesday’s premarket trading, reflecting Wall Street’s unease as the electric vehicle giant prepares to announce its first-quarter delivery figures for 2025. Analysts are projecting a decline, with an average of 15 who adjusted their forecasts over the past 30 days estimating 372,410 vehicles delivered—a 3.7% drop from the 386,810 reported a year ago, according to Visible Alpha. However, some investors and analysts argue this figure is too cautious, warning of a potential slide as steep as 12%, driven by a mix of market challenges and unexpected headwinds tied to CEO Elon Musk’s public persona. Tesla’s annual deliveries took a hit last year, breaking a long streak of growth, and Musk has vowed a rebound, but the path forward looks increasingly complex.
Musk’s high-profile role advising U.S. President Donald Trump on curbing wasteful government spending has stirred controversy, inexplicably fueling protests at Tesla stores across the U.S. and Europe, alongside a wave of vandalism targeting Tesla vehicles. Data suggests a growing number of owners are trading in their cars, hinting at a backlash that could dent demand further. Meanwhile, Tesla faces stiff competition from Chinese and European automakers, all vying for dominance in the electric vehicle space. The company rolled out a refreshed Model Y with updated styling and interiors – starting in China in late February and reaching the U.S. and Europe in March – hoping to bolster sales with incentives, but early signs are mixed. Sales in key European markets like France and Sweden have declined for three consecutive months through March, and broader data points to weakening performance in the U.S., Europe, and China over the first two months of 2025.
The anticipated 372,410 deliveries, if accurate, would mark a notable stumble for Tesla, which has long relied on its growth narrative to justify its premium valuation. Investors are keenly watching whether the refreshed Model Y can reverse the tide against competitors and soften the impact of Musk’s polarizing political involvement. With shares already down 2.60% to $261.57 premarket, the delivery report could either validate the conservative 3.7% drop or confirm the grimmer 12% plunge some fear, setting the tone for Tesla’s trajectory in a year where its market leadership is under unprecedented scrutiny.
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