What factors are driving Tesla’s stock market underperformance in 2025?
Why is the Tesla share price falling?
Tesla’s stock has tumbled significantly in recent months, becoming one of the S&P 500’s worst performers as competition intensifies and production challenges mount.
The extent of Tesla’s share price decline
Year-to-date Tesla’s stock has experienced a significant 30% decline, positioning it as the second worst-performing stock in the S&P 500 index. This downturn can be attributed to a confluence of factors, including heightened competition, production challenges, external economic pressures and bad press regarding Elon Musk.
The magnitude of the decline has sent shockwaves through the investment community, particularly affecting growth-oriented portfolios that had heavily weighted…
