EU sales halved against the trend, Tesla's stock price plummeted for four consecutive trading days, and its market value fell below the trillion-dollar mark, evaporating $186 billion in just a few days.On Tuesday, U.S. stocks closed, with Tesla plunging 8.4% to $302.80, causing its market value to drop to $974 billion. <img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/02468b58-302f-4870-9583-8f939b2a1da0.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/02468b58-302f-4870-9583-8f939b2a1da0.png"/>The Bloomberg Technology Index of seven major tech stocks was also dragged down, entering a correction zone, with a market value loss of about $1.4 trillion.Data from the European Automobile Manufacturers Association shows that Tesla faced a Waterloo in the European market, with EU sales halving in January, plummeting 45%, in stark contrast to the overall industry’s electric vehicle sales soaring by 37%.Steve Man, a senior analyst at Bloomberg Industry Research, stated:<blockquote>&#34;With the sales crash in January, Tesla's European dream is fading.&#34;</blockquote>Once a &#34;Tesla believer,&#34; Gerber, president and CEO of Gerber Kawasaki Wealth &amp; Investment Management, is also worried about Tesla's future, planning to significantly reduce his holdings by 31% in 2024 and predicting a more bearish outlook for Tesla in 2025, forecasting a stock price drop of over 50%.The reasons are as follows:<ul><li>Tesla's autonomous driving technology is hindered, overly reliant on cameras and not adopting LIDAR sensors, which is contrary to competitors' technological routes, resulting in its autonomous driving system being significantly behind.</li><li>Musk's multiple roles have spread his focus, as he has recently devoted himself to the AI field, leaving Tesla unattended, causing shareholder dissatisfaction.</li><li>Sales growth is slowing, with a first annual decline in 2024, primarily due to intensified competition and damaged brand image, especially Musk's close relationship with Trump, which has sparked public outrage and led to plummeting sales in multiple regions.</li></ul>In addition, Tesla's previously high valuation has also raised concerns. According to YCharts data:<blockquote>Tesla's market value reached $1.1 trillion, nearly five times that of Toyota, but its profit last year was only 20% of Toyota's. Its forward P/E ratio of 118 times is more than three times that of Nvidia, the second most expensive stock among the &#34;Mag7,&#34; and higher than its five-year average of 84 times</blockquote>

TSLA

On Tuesday, U.S. stocks closed with Tesla's market value dropping to $974 billion, a total evaporation of $186 billion over four consecutive days of decline. The significant drop in Tesla's stock price dragged down the overall performance of large tech stocks, with Bloomberg's seven major tech stock index falling into correction territory, resulting in a market value loss of approximately $1.4 trillion

- Tesla's stock price has plummeted for four consecutive trading days, resulting in a market value drop below $1 trillion, losing $186 billion in just a few days.  
- In January, Tesla's sales in the EU halved, falling 45%, contrasting sharply with a 37% increase in overall electric vehicle sales, indicating significant challenges in the European market.  
- Analysts express concerns over Tesla's reliance on outdated technology and Elon Musk's divided attention, predicting further declines in stock value and a potential 50% drop in 2025.

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Tesla

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European sales halved, Tesla fell for four consecutive days, plummeting 16%, with a market value dropping below one trillion