Tesla stock drops 15% due to lowered sales estimates

Tesla's stock fell sharply, marking its worst day in over four years. Shares dropped 15% after analysts cut delivery estimates for the first quarter and the full year, raising concerns about demand. UBS analyst Joseph Spak reduced Tesla's expected vehicle deliveries to 367,000 for the quarter, a 16% decrease. He also predicts a 5% drop in sales for 2025, contrasting with the average analyst expectation of a 10% increase. Sales in key markets are struggling. In Germany, registrations fell 70% in early 2025, and shipments from Tesla's Shanghai plant dropped 49% in February. The stock has lost 45% this year, erasing gains since November 2020.