Tesla shares plunge on the stock market, but why?

To explain this drop in performance, several factors must be taken into account.

First, Tesla, like many other players, is subject to the containment measures still in progress in the Shanghai region. According to information from various analysts, the Chinese Gigafactory will not be able to deliver as many vehicles as expected, with a loss of 180,000 Tesla compared to initial targets. Supply problems at the factories in Austin, Texas and Berlin will also weigh on the group’s next results.

At the same time, investors are beginning to get impatient with the soap opera of the takeover of Twitter by Elon Musk. For several weeks, the CEO of Tesla has been blowing hot and cold, and obviously wants to extend negotiations with the social network in order to lower the price of the operation. All these adventures make shareholders fear that Elon Musk no longer devotes enough time to Tesla.

Is the future cloud-laden for the automaker? Analysts answer in the negative. Indeed, if the group shows some signs of weakness, they still consider Tesla shares as a sustainable long-term investment and encourage their customers to turn their backs during this complicated phase for the industry while continuing to buy. titles.

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