After Donald Trump was named the president-elect of the United States, Tesla (TSLA) stock roared, reaching new highs. But backlash over CEO Elon Musk’s relationship with the president has erased all of those gains.
As of publication, Tesla stock goes for $242.25 per share, after falling by more than 8% in midday trading on Monday. Since January 1, the stock has fallen by more than 36%.
That brings the stock back to where it was on November 4, 2024, the day before the presidential election. At the time, the stock was valued at $242.84 per share.
The stock’s decline has been accelerated by poor sales in January and February, from Australia to Norway, partly due to Tesla factories preparing for a refreshed Model Y SUV and partly due to outrage over Musk’s politics. In February, Tesla’s Chinese shipments plunged 49%.
“As a successful businessman, one should be embracing 100% of the market: treat everyone nicely, and everyone will be nice in return,” Cui Dongshu, Secretary General of the Chinese Passenger Car Association, said Monday. ““But if you look at it in terms of voting, then half of voters will be friendly to you and half of them won’t be.”
Musk has spent much of his time since the election working alongside President Donald Trump in Washington, serving as the leader of the Department of Government Efficiency, which has been embroiled in legal battles. He’s also endorsed Germany’s far-right Alternative for Germany party and participated in an online campaign to convince British officials to release far-right agitator Tommy Robinson.
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In solidly-blue California, traditionally Tesla’s biggest domestic market, new vehicle registrations fell 11.6% last year, according to the California New Car Dealers Association.” Musk’s political activities have cost Tesla about $15 billion in brand value, Brand Finance told CNBC in January.
Protests have been organized at Tesla showrooms and facilities across the nation since Trump was inaugurated in January. More than a dozen violent or destructive acts have been directed at the company’s facilities in that time, according to The Washington Post, including one instance where an individual planted a Molotov cocktail near a vehicle.
In France, a dozen Teslas were set on fire near the city of Toulouse, France24 reported. And in Berlin, fires broke out at a construction site for the expansion of a Tesla factory.
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