On March 10, the stock price of the electric car manufacturer fell to levels last seen in early November 2024. Thus, the shares of Elon Musk’s company lost all the gains made after Donald Trump’s victory in the U.S. presidential election.
Tesla’s stock peaked in mid-December, when it reached $480 per share—twice as much as during Trump’s election campaign, in which Musk was actively involved. Currently, with a price of around $222 per share, Tesla’s market value has dropped from $1.5 trillion to approximately $715 billion. For comparison, Ford’s market value is about $40 billion, and General Motors’ is around $48 billion.
The negative dynamics of Tesla’s stock were observed against the backdrop of a general decline in the U.S. stock market: the NASDAQ Composite Index (IXIC) fell 3.2% on the same day. Additionally, the company’s global sales continue to decline, partly due to the political activity of Musk himself.
For example, the support for the Alternative for Germany party during the recent early Bundestag elections sharply reduced the demand for his brand’s cars in Germany. This comes on the heels of a 41% drop in Tesla sales in 2024, down to 37,574 units, due to the German government’s cancellation of subsidies for electric vehicle buyers.
