^{Source: Fortune}

Market Performance

Tesla's stock closed at $227.50 on Monday, marking a 5.7% decline and bringing its year-to-date loss to 44%. This downturn follows the company's worst quarterly performance since 2022. The stock is now less than $6 above its 2025 low, recorded on April 8.​

Q1 2025 Vehicle Deliveries

In the first quarter of 2025, Tesla reported delivering 336,681 vehicles, a 13% decrease compared to the same period in 2024. This figure fell short of analyst expectations, which ranged between 360,000 and 370,000 units. The decline is attributed to production challenges, including a temporary shutdown of a U.S. factory for Model Y upgrades, and intensified competition in key markets like Europe and China. ​

Analyst Expectations

Analysts anticipate Tesla to report first-quarter revenue of approximately $21.24 billion, slightly below the same period last year. Earnings per share are expected to be around $0.40. Concerns have been raised about potential margin pressures due to increased competition and production costs. ​

Investor Sentiment and Brand Perception

Investor confidence has been shaken by CEO Elon Musk's involvement in political activities, particularly his role in the Trump administration's Department of Government Efficiency (DOGE). This association has led to public protests and a decline in brand perception. A recent survey indicated that only 27% of respondents would consider purchasing a Tesla, down from 46% in January 2022. ​

Analyst Downgrades and Price Targets

Several analysts have adjusted their outlooks on Tesla:​

• Wedbush Securities: Downgraded Tesla's stock price target from $550 to $315, citing the company's emerging status as a "political symbol" and potential permanent demand loss. ​
• Barclays: Reduced its price target to $275 from $325, highlighting a "confusing set-up" for the first quarter with "weak fundamentals."​
• Wells Fargo: Lowered its price target to $130, pointing to weak demand and rapid vehicle availability in the U.S. ​

Upcoming Earnings Call

Tesla is scheduled to release its first-quarter earnings report on Tuesday. Investors will be closely monitoring the call for updates on product development, including the anticipated $30,000 EV model and advancements in autonomous driving technology. Analysts emphasize the need for Musk to refocus on Tesla's core business to restore investor confidence.

‍