Tesla’s stock is in freefall, plunging 40% year-to-date as Wall Street loses faith. Analysts are slashing price targets left and right, with Wells Fargo projecting a brutal 46% downside. The culprit? Elon Musk’s political shenanigans have 85% of investors seeing red flags. Production’s lagging, competitors are gaining, and even die-hard Tesla bulls are heading for the exits. The drama unfolding at the EV giant hints at deeper troubles beneath the surface.
While Elon Musk tweets his way through political controversies, Tesla’s stock price is having a meltdown of epic proportions. The electric vehicle maker’s shares have nosedived nearly 40% year-to-date in 2025, wiping out billions in market value and leaving investors scrambling for the exits. After surging to all-time highs in November 2021, the stock has been on a volatile journey.
Wall Street isn’t mincing words anymore. CFRA Research slashed its price target from $360 to $260 and downgraded Tesla from “Buy” to “Hold.” The real kicker? Analysts’ 12-month predictions are all over the map, ranging from an apocalyptic $24.86 to a pie-in-the-sky $1,000. Talk about mixed signals. Wells Fargo’s latest analysis projects 46.36% downside potential with a new price target of $130.
Musk’s political antics aren’t helping. A Morgan Stanley survey reveals that 85% of investors think his political activities are hurting Tesla. That’s not just a few grumpy shareholders – we’re talking about 45% calling it “negative” and another 40% saying it’s “extremely negative.” Brand damage? You bet.
The panic is real, and it’s spreading fast. Retail investors are jumping ship as deliveries slow and brand perception takes hit after hit. Even the usually optimistic analyst crowd is turning sour, with more “hold” and “sell” ratings popping up like mushrooms after rain. Smart investors are considering defensive investments to protect against market volatility.
The numbers tell a grim story. Barclays expects 2025 vehicle deliveries to hit 1.95 million, falling short of both Bloomberg’s consensus and Tesla’s own guidance. Revenue growth? Slowing. Production issues? Check. Regulatory headaches? Those too.
Morningstar’s keeping it real with a $250 “fair value estimate,” though some dreamers still see Tesla hitting $1,359.56 by 2030. Meanwhile, production bottlenecks and delivery delays keep piling up, and competitors are breathing down Tesla’s neck.
The message is clear: Tesla’s facing a perfect storm of political drama, operational challenges, and investor exodus. And while some analysts maintain their rosy outlooks, the majority have shifted to neutral – suggesting nobody really knows where this rollercoaster is headed next.
