Tesla Faces Mounting Headwinds as Competition Erodes Dominance and Stock Slumps
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Tesla stock has had the worst performance in the Nasdaq 100 index this year, with declining revenues, profits, and cash flow.
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Competition is heating up for Tesla in both the US and China EV markets, with nearly every major automaker entering the space. Tesla's market share is declining.
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Lack of charging infrastructure in the US disadvantages BEVs compared to hybrids and plug-in hybrids, which are growing faster.
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Tesla will open up 7,500 Superchargers to non-Tesla EVs by end of 2024 to qualify for federal funding.
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Given high competition and China production cuts, analysts say Tesla stock could face an additional 20-45% valuation correction downward.