Tesla Stock Daily Drive

July 08, 2025 • Finance

Hosted by Dusty

About This Episode

Generated finance podcast with host Dusty based on prompt: Daily stock movements for Tesla. Focus on the stock, but provide any important background information that is necessary.

Transcript

Welcome to "Tesla Stock Daily Drive." I'm Dusty, your guide through today’s financial landscape, where we'll explore Tesla's recent stock performance, the market factors at play, and what analysts are saying.

Let’s dive into the numbers. On July 7, 2025, Tesla took a significant tumble, closing at $293.94, a 6.70% drop from its previous close. This decline wiped out roughly $68 billion in market cap, bringing Tesla’s valuation just under the trillion-dollar mark. It’s a stark contrast to the valuation of over $1.07 trillion it enjoyed just days ago.

Now, what happened during the trading day? Tesla shares opened lower, reflecting investor jitters, and ranged between $288.71 and $296.15. Volume surged to 130 million shares, much higher than the average, translating to an eye-popping $38.25 billion in value exchanged.

This decline wasn’t mirrored in the broader market. The S&P 500 dipped modestly, while the Dow and Nasdaq saw similar small declines. Tesla’s situation was more severe, pointing to company-specific events rather than a market-wide trend.

The catalyst? CEO Elon Musk announced plans to form a new “America Party,” reigniting tensions with political figures. Investors are concerned about Musk’s focus shifting from Tesla, potentially impacting subsidies and strategic decisions.

The macroeconomic backdrop adds another layer of complexity. With resilient economic data and the Fed maintaining its rate stance, growth stocks like Tesla feel pressure from high borrowing costs.

Analysts are reacting with mixed takes. Wedbush’s Dan Ives notes some investor fatigue over Musk's political maneuvers, while William Blair downgraded Tesla, citing risks from leadership distractions. Yet, Mizuho remains optimistic, setting a price target that's well above current levels. There’s a clear divergence in opinions.

Technically speaking, conditions appear oversold, hinting at a possible rebound. Short sellers have capitalized, earning significant profits. Price targets vary widely, from bullish forecasts as high as $1,232 to more moderate figures.

Looking back at Tesla’s recent operations, Q2 brought notable achievements with over 384,000 vehicles delivered and substantial energy storage outputs. All eyes will be on the upcoming earnings call, with expectations set for insights into margins and new product updates.

Financially, the forecast for Q2 includes revenue of $22.66 billion and an EPS of $0.41, both down from last year. Analysts are particularly interested in cash flow and any guidance on automotive and energy segments.

Year-to-date, Tesla’s stock experienced a strong rally, driven by optimism around new innovations. Yet recent drops highlight challenges from geopolitical tensions and competitive pressures, especially from players like BYD.

So, what’s the takeaway for investors? Stay attentive to leadership movements and the broader economic indicators, which can greatly influence Tesla’s trajectory. The mix of enthusiasm and caution from analysts underscores the complexity of the current market dynamics.

That’s all for today’s drive. Remember, in the world of finance, "When the dust settles, only the truth remains." Thanks for joining me, Dusty, and stay tuned for more insights tomorrow.

Tesla Stock Daily Drive