Tesla (NASDAQ:TSLA) Stock Price Down 2.1% – Here’s Why

Tesla, Inc. (NASDAQ:TSLA)’s share price was down 2.1% on Thursday . The stock traded as low as $403.66 and last traded at $408.58. Approximately 53,242,318 shares changed hands during mid-day trading, a decline of 14% from the average daily volume of 61,610,441 shares. The stock had previously closed at $417.40.

Key Tesla News

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Tesla says FSD and Cybercab could roll out in Europe soon and Elon Musk has flagged Optimus/Cybercab production at the German factory — a regulatory approval or tangible European launch would be a material growth catalyst. Elon Musk: Tesla FSD Coming To Europe, Alongside Cybercab, Optimus Production
• Positive Sentiment: Commercial energy business wins: Tesla Megapack will power a 400MW AI data‑center campus in Brazil — strengthens non‑auto revenue pipeline and recurring project opportunities. Tesla’s Megapack Will Power 400MW AI Data Center in Brazil
• Positive Sentiment: Tesla preparing to bring the Semi truck to Europe — expansion of commercial vehicle market could add revenue optionality beyond passenger EVs. Tesla (TSLA) Is Getting Ready to Bring Its All-Electric Semi Truck to Europe
• Neutral Sentiment: Labor noise eased in Germany after a truce with unions — reduces near‑term operational disruption risk at Giga Berlin but doesn’t change demand/technology concerns. German union says settlement reached dispute with Tesla
• Negative Sentiment: Victor Nechita, program manager for Cybercab, announced his departure — investors view this as execution risk for the robo‑taxi initiative and it has pressured the stock. Tesla Stock Slips After Cybercab Chief Exits Ahead of Robo-Taxi Launch
• Negative Sentiment: China demand softening: delivery lead times collapsed to 1–3 weeks and Tesla extended financing offers again — signals inventory/pricing pressure and intensifying competition in its largest market. Tesla (TSLA) China delivery times collapse to 1-3 weeks as it extends financing again
• Negative Sentiment: Regulatory and legal headwinds: Tesla sued the California DMV over alleged false advertising around FSD/Autopilot — increases litigation risk and highlights regulatory scrutiny of its autonomy claims. Elon Musk’s Tesla Sues California DMV Following False Advertising Row Around FSD, Autopilot
• Negative Sentiment: Robotaxi progress questioned: multiple reports say Tesla has logged zero California test miles for commercial robotaxis, no major US permits, and safety metrics that have drawn scrutiny — this undermines the premium valuation narrative tied to future robotaxi revenue. Musk touts California robotaxis; Tesla does nothing to get permits

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the company. HSBC restated a “reduce” rating on shares of Tesla in a research note on Monday, November 17th. Mizuho set a $540.00 target price on shares of Tesla and gave the company an “outperform” rating in a research note on Thursday, January 29th. Barclays reissued a “neutral” rating on shares of Tesla in a research note on Wednesday, February 18th. JPMorgan Chase & Co. lowered their price objective on shares of Tesla from $150.00 to $145.00 and set an “underweight” rating on the stock in a research report on Friday, January 30th. Finally, President Capital cut their target price on shares of Tesla from $517.00 to $500.00 and set a “buy” rating for the company in a research report on Friday, January 30th. Eighteen investment analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and nine have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Tesla presently has an average rating of “Hold” and a consensus target price of $408.09.

Tesla Price Performance

The stock has a market cap of $1.51 trillion, a PE ratio of 372.69, a PEG ratio of 14.54 and a beta of 1.86. The business’s 50-day simple moving average is $433.46 and its 200-day simple moving average is $420.43. The company has a quick ratio of 1.77, a current ratio of 2.16 and a debt-to-equity ratio of 0.08.

Tesla (NASDAQ:TSLA) last announced its quarterly earnings results on Wednesday, January 28th. The electric vehicle producer reported $0.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.45 by $0.05. Tesla had a return on equity of 4.86% and a net margin of 4.00%.The company had revenue of $24.90 billion for the quarter, compared to the consensus estimate of $24.75 billion. During the same quarter in the previous year, the business earned $0.73 EPS. Tesla’s revenue was down 3.1% compared to the same quarter last year. On average, research analysts expect that Tesla, Inc. will post 2.56 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Kimbal Musk sold 56,820 shares of Tesla stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $450.66, for a total transaction of $25,606,501.20. Following the sale, the director owned 1,391,615 shares of the company’s stock, valued at approximately $627,145,215.90. The trade was a 3.92% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Kathleen Wilson-Thompson sold 25,731 shares of the stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $415.56, for a total transaction of $10,692,774.36. Following the completion of the transaction, the director directly owned 19,669 shares of the company’s stock, valued at approximately $8,173,649.64. The trade was a 56.68% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 145,188 shares of company stock worth $64,193,919. Insiders own 19.90% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of TSLA. Norges Bank purchased a new position in Tesla during the fourth quarter valued at $17,128,100,000. Corient Private Wealth LLC boosted its stake in Tesla by 3,205.5% in the 4th quarter. Corient Private Wealth LLC now owns 21,459,599 shares of the electric vehicle producer’s stock worth $9,650,811,000 after purchasing an additional 20,810,386 shares in the last quarter. Bank of America Corp DE increased its stake in Tesla by 56.0% during the 4th quarter. Bank of America Corp DE now owns 20,755,605 shares of the electric vehicle producer’s stock valued at $9,334,211,000 after purchasing an additional 7,450,766 shares in the last quarter. Cardano Risk Management B.V. lifted its stake in shares of Tesla by 882.8% in the fourth quarter. Cardano Risk Management B.V. now owns 8,202,060 shares of the electric vehicle producer’s stock worth $3,688,630,000 after buying an additional 7,367,507 shares in the last quarter. Finally, Vanguard Group Inc. grew its holdings in shares of Tesla by 2.6% during the fourth quarter. Vanguard Group Inc. now owns 258,925,024 shares of the electric vehicle producer’s stock valued at $116,443,762,000 after buying an additional 6,538,720 shares during the last quarter. 66.20% of the stock is currently owned by institutional investors.

Tesla Company Profile

Tesla, Inc (NASDAQ: TSLA) is an American company that designs, manufactures and sells electric vehicles, energy generation and energy storage products. Founded in 2003 by Martin Eberhard and Marc Tarpenning, Tesla grew into a vertically integrated mobility and clean‑energy company with Elon Musk serving as its chief executive officer. The company’s stated mission is to accelerate the world’s transition to sustainable energy, reflected in its combined focus on electric drivetrains, battery technology, renewable energy products and software.

Tesla’s automotive business includes a lineup of battery‑electric vehicles and related services.