Tesla Stock Slides After Missed Estimates, Sales Decline, and Musk Warns of Rough Quarters

Benzinga

Tesla shares fell 8% on Thursday after the company reported its second consecutive quarter of declining auto sales and missed revenue estimates, according to CNBC. Automotive revenue dropped 16% year over year to $16.7 billion, while total revenue fell 12% to $22.5 billion. CEO Elon Musk warned of “a few rough quarters” ahead, citing the end of the federal $7,500 EV tax credit in September. Vehicle deliveries dropped 14% in the second quarter to 384,000, with new registrations in Europe also falling. The company has begun limited production of a cheaper EV model and plans to ramp it up in the second half of the year to boost sales. However, the company did not provide official guidance, casting uncertainty over its 2025 growth outlook. Tesla’s stock is down 24% in 2025, making it the worst-performing tech megacap.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:02Tesla shares fell 8% Thursday after the company reported a second straight quarter of declining

00:06auto sales and missed revenue estimates, according to CNBC. Automotive revenue dropped 16% year-over-year

00:12to $16.7 billion, while total revenue fell 12% to $22.5 billion. CEO Elon Musk warned of a few

00:20rough quarters ahead, setting the end to the federal $7,500 EV tax credit in September.

00:25Vehicle deliveries dropped 14% in the second quarter to $384,000. New registrations in

00:30Europe also fallen. The company has begun limited production of a cheaper EV model and plans to

00:35ramp it up in the second half of the year to boost sales. However, the company did not provide

00:38official guidance, casting uncertainty over its 2025 growth outlook. Tesla's stock is down 24%

00:44in 2025, the worst performer among tech mega caps. For all things money, visit Benzinga.com.

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