Economic nationalism is now a global phenomenon and it has major implications for Apple, Starbucks, Tesla, McDonald's, and Domino's Pizza, to name just a few major market players that have benefitted from an era of free trade and access to global markets and consumers. Western businesses now face a landscape where trade, investment, and corporate presence are no longer purely economic matters but increasingly tied to geopolitics.
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.
Tesla's (TSLA) struggle to maintain its dominance in the electric vehicle market is intensifying in Europe, where the automaker experienced a precipitous 45% drop in sales during January.
Tesla's share price fell more than 8% as of 1:20 p.m. EST on Tuesday after reports that sales for the company across Europe fell about 45% over the last month—despite rival electric-vehicle companies seeing increased demand—causing Tesla owner Elon Musk's net worth to plummet by almost $15 billion.
Rivian Stock Could Show A Big Boost As Tesla's Brand Image Suffers
Sales of fully electric car sales In Europe were up 37.3% in January, industry data showed on Tuesday, although the sharp rise was not enough to compensate for a drop in petrol and diesel vehicles, leaving overall sales down by 2.1%.
The Magnificent Seven — the group of tech stocks comprised of Alphabet (GOOG, GOOGL), Apple (AAPL), Nvidia (NVDA), Tesla (TSLA), Amazon (AMZN), Meta Platforms (META), and Microsoft (MSFT) — has dropped to a two-month low, falling nearly 9% since its December peak. Tesla, Microsoft, and Alphabet are among the biggest laggards, with Meta being the only stock in the green.
Tesla's closing market cap slides below $1 trillion for the first time since mid-November.
TSLA is set to introduce a third major refresh for the Model S and Model X by the year-end to align the models with the latest innovations introduced by the Cybertruck.
Shares of Tesla (TSLA -7.12%) are trading lower on Tuesday. The company's stock lost 7.3% as of 10:45 a.m.
Zacks.com users have recently been watching Tesla (TSLA) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
A drop in new registrations for Tesla came even as sales of battery-electric vehicles rose an overall 34% in the region, with Volkswagen and SAIC Motor increasing their market share.