Telsa Shares Are Losing Value Amid not Meeting Expectations

Starting in 2023, Tesla shares suffered a drop of more than 14%, this drop making it the biggest drop within the S&P 500 index, raising concern.

After Elon Musk’s company reported this Tuesday that during the year 2022, they delivered fewer vehicles than initially expected, the shares fell. Tesla’s initial goal for 2022 was 1.4 million, but they delivered about 1.31 million, well short of the initial goal.

Wedbush analyst Daniel Ives wrote the following after the news broke: “There is already a lot of bad news in Tesla stock, and these numbers could have been worse in the eyes of the street.”

In addition to this, the Korea Fair Trade Commission (KFTC) fined Tesla $2 million for exaggerating and making false claims online about the charging speed and range of its vehicles.

2022 was recorded as the worst year for Tesla shares after closing with a loss of 65%. Tech companies in general took a hit in 2022, but what Tesla suffered was a hit from production problems in China and investor frustration over Elon’s involvement with Twitter.

According to Dow Jones Market Data, Tesla shares are about to close at their lowest since August 2020, ending their 3-session winning streak.