From Nasdaq: 2024-04-28 03:07:00

Tesla’s stock has plummeted 59% from its peak in November 2021, with poor financial reports worrying investors. Q1 results show a 9% revenue drop, driven by lower vehicle deliveries and prices. The EV industry struggles to boost demand, forcing Tesla to cut prices and lower profitability margins to compete with rivals.

Despite financial struggles, Tesla shares rose 15% after Q1 earnings. CEO Elon Musk’s promise to accelerate new model launches, potentially a cheaper option against Chinese rivals, excites investors. Musk aims to transform Tesla cars into profitable robotaxis, but doubts linger on its feasibility.

With Tesla facing economic and industry challenges, it may not meet Musk’s ambitious long-term goals. The stock, down in a downward trend, is expensive at a P/E ratio of 42.5. Investors are cautious about Tesla’s future as it grapples with declining revenue and profit.

Analysts recommend caution with Tesla stock, waiting for improvement before considering investment. Motley Fool Stock Advisor suggests 10 alternative stock picks, with Tesla making the list. Shares may hold promise, but Tesla’s current struggles warn of potential risks for investors.



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