Tesla's stock price drops by more than 50% in three months
On March 20, as of March 17, 2025, Tesla's stock price had fallen by more than 50% since its high closing on December 17, 2024, with a market value evaporating by over USD 700 billion (CNY 5,072.48 billion), resulting in a more than USD 100 billion reduction in CEO Elon Musk's net worth.
According to data analysis firm S3 Partners, since Tesla's stock hit a closing high on December 17, 2024, short sellers have accumulated a book profit of USD 16.2 billion.
Tesla has traditionally attracted more liberal consumers, but since Musk's shift to the "MAGA" camp, this consumer group's attitude towards Musk and his products has significantly deteriorated. Musk's public intervention in European politics and his leadership of the US "Government Efficiency Department" in pushing for large-scale federal government layoffs have to some extent led to a decline in Tesla's electric vehicle sales in Europe.
Recently, there have been acts of vandalism against Tesla stores and vehicles in multiple regions across the United States, with a Tesla dealership in Colorado being set on fire several times.
Last week, J.P. Morgan Chase & Co. lowered Tesla's year-end target price from USD 135 to USD 120, writing in a report, "It's hard to imagine something similar in the history of the automotive industry that has caused a brand to lose so much value so quickly."