Tesla Inc. ended 2025 with soaring shares but struggled to sell vehicles. Expected to report a 4Q delivery decline, Wall Street predicts a plunge in 2026 deliveries. Musk’s focus on long-term growth overshadows near-term challenges, including potential suspension of sales license due to misleading automated-driving claims.

2025 was a tumultuous year for Tesla, marked by poor vehicle sales, Musk’s controversial ties to Trump, and stock plummet. Recovery came as Musk pivoted to autonomous ride-hailing. Despite safety concerns and investigations, Tesla’s stock rebounded, hitting new highs and adding billions in market cap.

Investors are intrigued by Tesla’s robotaxi plans, but consumers remain hesitant. Musk faces challenges convincing buyers of Full Self-Driving capabilities. Tesla’s attempts to stand out in China’s EV market face stiff competition. Analysts predict BYD will outsell Tesla due to higher sales and regulatory roadblocks.

After a sales decline, Tesla faces more obstacles in 2026 without US tax credits. Some see an upside in reduced EV investments by major manufacturers. Musk teases Cybercab, a compact car with autonomous features. Investors hope for stability in Tesla’s EV business as Musk focuses on autonomous vision.

Investors are optimistic about Tesla’s future despite challenges in the EV market. Musk’s focus on autonomy and new vehicle offerings could help stabilize the company in the coming year. With a shift away from traditional car manufacturing, Tesla aims to satisfy investors and maintain growth.

Read more at Yahoo Finance: Tesla Sales Outlook Darkens Despite Musk’s Self-Driving Euphoria