Tesla Stock: Political Activities Drive Shares Down

Tesla's stock has faced significant pressure since the beginning of the year, losing approximately one-third of its value. Monday's trading session worsened this downward trend with the stock dropping 5.77% to €229.55, making it one of the day's most notable losers on the US market. This decline appears connected to CEO Elon Musk's increasing political engagement, including his support for the Trump administration and right-wing parties in Europe. Musk himself acknowledged over the weekend that his political activities present a growing risk to the company's share price. The selloff is part of a broader technology sector downturn that has also affected industry giants like Nvidia and Amazon, with investors particularly concerned about reports of Tesla vehicles becoming targets of vandalism in several countries, seemingly in response to Musk's political statements.

Fire Incident Compounds Image Problems

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Sollten Anleger sofort verkaufen? Oder lohnt sich doch der Einstieg bei Tesla?

Adding to Tesla's challenges, a nighttime fire at a Tesla facility in Rome's Torre Angela district on Monday destroyed 17 vehicles and partially damaged the building. While the cause remains under investigation, Italian authorities are considering the possibility of arson. This incident could further exacerbate the company's image crisis and put additional pressure on its already struggling stock price. Market experts view Tesla as being in a precarious position, battling not only internal challenges but also the increasing politicization of its brand through its CEO's activities. The situation is compounded by upcoming US tariffs on automobile imports, which are expected to impact the entire automotive sector.