Problems Continue to Mount for Tesla. Here’s What Investors Should Know

From Nasdaq: 2025-05-24 18:14:00

Tesla (NASDAQ: TSLA) investors face multiple challenges, including tariffs, declining overseas sales, and CEO Elon Musk’s political controversies. Recent reports indicate Tesla’s trustworthiness may be in question, with concerns over reselling off-lease vehicles for higher prices. The Cybertruck’s disappointing sales and price drops further highlight Tesla’s struggles in the market.

Last November, Tesla ended a policy preventing U.S. leasing customers from buying their cars outright at lease-end, initially for robotaxi plans that haven’t materialized. Tesla’s practice of upgrading off-lease vehicles with over-the-air updates and reselling them at higher prices adds to concerns about the company’s reliability. Tesla must work to rebuild its brand image amid ongoing challenges.

Tesla’s Cybertruck, once a bold design statement, has seen lackluster sales and price declines. CarGurus analysis shows a 46% drop in Cybertruck prices over the past year, far exceeding the industry average. Losing the electric truck sales crown to Ford’s F-150 Lightning reflects the Cybertruck’s struggle to meet expectations in a competitive market.

Amidst mounting challenges, Tesla faces criticism over Musk’s controversial political actions, tariff issues, and declining sales. While long-term investors may weather the storm, Tesla must address its tarnished brand image and deliver on promises to regain consumer trust. Opportunities for growth remain, but Tesla must navigate current obstacles to secure its future success.



Read more at Nasdaq: Problems Continue to Mount for Tesla. Here’s What Investors Should Know