Tesla shares since December have sank by 25 % against the backdrop of a company sales of electric vehicles

Tesla is becoming increasingly difficult to maintain the status of the largest manufacturer of electric vehicles, since in the largest market the planet, in China, it is rapidly crowded by competitors, and beyond its borders the company’s business begins to harm the political activity of Ilon Musk (Elon Musk). Tesla shares against this background from the December maximums failed in price by 25 %.

Image Source: Tesla

In general, as Bloomberg notes, the leaving week for Tesla shares has become the worst since October, since they fell in price by 11 %. Statistics of sales of electric vehicles of the brand in January greatly contributed to this. For example, in Germany, Tesla products fell to the minimum values ​​in 2021, France and Great Britain also showed a negative local sales dynamics. In China, where not only produced, but also the main part of Tesla electric vehicles are sold, the January supply volumes decreased by 11.5 % of the year or more than 30 % sequentially.

In mid -December, Tesla shares reached maximum values, but this was largely due to the proximity of Ilon Musk to Donald Trump who won in November in November in the US presidential election. However, gradually investors realized that the new US president intends to reduce the programs for subsidizing electric vehicles, and for the Tesla business this will have unpleasant consequences. The political activity of the mask in Europe also began to set up consumers against the products of its companies. As a result, Tesla shares, according to the results of several weeks of this year, turned out to be the worst of the dynamics of securities among issuers of the so -called “large seven”, which includes Apple, Microsoft, Nvidia, Alphabet (Google), Amazon and Meta✴ Platforms. They turned out to be the most revised from the point of view of fundamental analysis.

Analysts believe that Tesla shares will continue to be cheaper over the next two or three weeks. For some investors, this will become the opportunity to purchase these shares, one should focus on the resistance level of $ 350 per share at the current level of about $ 362. On average, Bloomberg interviewed analysts agree that in the next 12 months Tesla shares will be held at $ 360 apiece.