Tesla’s stock nosedives, making it the worst performing stock in S&P 500

Share post:

Tesla, the electric vehicle giant once celebrated for its market-defying success, has hit a significant slump, becoming the worst-performing stock in the S&P 500 this year. The company’s shares have plummeted by 24% in just over a month, a stark contrast to the index’s overall 4% gain. This downturn has placed Tesla below other struggling entities such as Boeing and Etsy, marking a troubling phase for the tech behemoth.

Several factors contribute to Tesla’s current predicament. The company has been plagued by numerous recalls, raising questions about product reliability. Moreover, CEO Elon Musk’s controversial behavior and alleged drug use, reportedly concerning enough for intervention by board members, have cast a shadow over the company’s leadership. The increasing competition Tesla faces both domestically and internationally further exacerbates its challenges.

Despite these hurdles, Tesla’s reliance on Musk’s vision and leadership remains undeniable. The company acknowledges its dependence on Musk, who has been pivotal in driving shareholder value. However, his recent actions have contributed to erasing over $200 billion in shareholder value, underscoring the volatile impact of executive behavior on company performance.

As Tesla navigates through these tumultuous times, the broader tech industry’s layoffs and challenges loom, reflecting a period of adjustment and recalibration.

Sources include: Quartz


Featured Tech Jobs


Related articles

US supports Japans ambitions to return to leadership in chip manufacturing

Japan has embarked on a monumental $67 billion initiative to reclaim its stature as a global semiconductor titan,...

OpenAI acknowledges “ChatGPT had a melt down”

ChatGPT had what witnesses are describing as a "meltdown" over the past day. Various reports surfaced with incidents...

One billion dollar copyright infringement killed on appeal

The $1 billion copyright infringement verdict against Cox Communications was overturned by a federal appeals court, which ruled...

Colorado app addresses food waste and feeds “food insecure”

In Denver and Boulder, Colorado the Too Good To Go app is changing the way we tackle food...

Become a member

New, Relevant Tech Stories. Our article selection is done by industry professionals. Our writers summarize them to give you the key takeaways