Tesla's Market Value Tumbles Below $1 Trillion as Europe Sales Slump
Tesla's stock tumbled 8% on Tuesday, pushing its market value below $1 trillion for the first time since November after data showed the electric car maker's sales slumped in Europe in January. The European Automobile Manufacturers Association reported that Tesla sales dropped 45% in Europe, compared with a 37% jump in overall sales of EVs in Europe. The sales decline underscores Tesla's challenges following a dip in global deliveries last year that has raised pressure on CEO Elon Musk to roll out lower-priced models as well as the autonomous cars that he says underpin Tesla's future.
- The increasing complexity of Tesla's business, with multiple products and services across electric vehicles, clean energy, and space exploration, may be contributing to Musk's distraction and potential mismanagement of the company.
- How will the ongoing decline in Europe sales impact Tesla's ability to maintain its market share and achieve its ambitious expansion plans in other regions?