Tesla Stock Daily Drive

August 01, 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," where we navigate the highs and lows of Tesla’s market journey. I’m Dusty, your guide to understanding the dynamics shaping Tesla’s performance. Let's drive into today’s insights.

Tesla shares had a bit of a rollercoaster ride on July 31, 2025. They opened at $319.61, reached a high of $321.37, but then took a dip to a low of $306.10, closing at $308.27. That’s a 3.4% drop from the previous day and one of the steeper declines we’ve seen lately. The trading volume was slightly up, with over 85 million shares changing hands.

Taking a step back, for the year up to July 31, Tesla's average closing price stands at $316.70, marking a 21% slide since the year's start. The closing price paints a picture of a company in correction territory, far removed from its early January peaks.

Zooming out to the broader market, what’s driving this sentiment? On the macroeconomic front, investors are cautious post the Federal Reserve’s decision to keep rates steady between 4.25% and 4.50%. Fed Chair Jerome Powell's remarks about inflation being above target and a robust labor market have certainly added weight on high-growth stocks like Tesla.

Let’s touch on how other equity benchmarks fared on the same day. The S&P 500 saw a slight decline of 0.1%, while the Dow pulled back 0.4%. The Nasdaq, however, managed to eke out a 0.2% gain, buoyed by strong tech earnings.

Shifting focus to Tesla’s internal landscape, they reported their Q2 financials on July 23, revealing some challenges. Revenue dipped to $22.50 billion, down 12% year-over-year, with a notable 16% drop in automotive revenue. The adjusted EPS missed estimates, sparking concern over Tesla’s growth trajectory.

Adding to the pressure are production delays for their lower-cost model and underwhelming sales of the Cybertruck. With U.S. EV tax credits set to expire in September and intensified competition from legacy automakers and BYD, Tesla has its work cut out.

Looking ahead, Tesla's recent stock drop emphasizes its vulnerability to both macroeconomic factors and internal challenges. As we await Tesla’s next moves, particularly around new model rollouts and their ambitious robotaxi project, expect more turbulence on this stock journey.

Tesla’s ability to navigate these hurdles, stabilize revenues, maintain supply chains, especially post their $16.5 billion deal with Samsung, and adapt to evolving market conditions, will be pivotal.

That’s it for today’s episode of "Tesla Stock Daily Drive." Keep your engines running as we continue to explore the market lanes. Remember, when the dust settles, only the truth remains. Thanks for tuning in, and drive safe!

## Tesla (TSLA) Stock Performance on July 31, 2025

Intraday Price Action
On July 31, 2025, Tesla shares opened at $319.61, reached an intraday high of $321.37 and a low of $306.10, before closing at $308.27. The session’s trading volume totaled 85,270,919 shares, up modestly from 83,931,942 shares on July 30. This marked a 3.4% decline from the prior day’s close of $319.04, representing one of the steeper one-day drops in recent weeks ([statmuse.com](https://www.statmuse.com/money/ask/tesla-average-stock-closing-price-2025)).

Year-to-Date Context
For the calendar year through July 31, 2025, Tesla’s average closing price stood at $316.70, a decline of 21% from its levels at the start of the year. The July 31 closing price of $308.27 (latest quoted at $308.68) places Tesla firmly in correction territory relative to its early-January highs ([statmuse.com](https://www.statmuse.com/money/ask/tesla-average-stock-closing-price-2025)).

## Broader Market and Macroeconomic Drivers

Federal Reserve Policy and Market Sentiment
Investors entered July 31 cautiously following the Federal Open Market Committee’s decision on July 30 to maintain the federal funds rate at 4.25%–4.50%. Fed Chair Jerome Powell’s post-meeting remarks emphasized a continued data-dependent approach, underscoring that inflation remains above the 2% target and that labor market strength justifies holding rates steady. This hawkish tone weighed on rate-sensitive, high-growth stocks across the board ([zacks.com](https://www.zacks.com/stock/news/2643571/stock-market-news-for-jul-31-2025?utm_source=chatgpt.com), [reuters.com](https://www.reuters.com/business/global-markets-trading-day-2025-07-31/?utm_source=chatgpt.com)).

Equity Benchmarks on July 31
– S&P 500: down 0.1% to close at 6,362.90
– Nasdaq Composite: up 0.2% to finish at 21,129.67
– Dow Jones Industrial Average: declined 0.4% to 44,461.28
The S&P’s modest retreat and the Dow’s pullback reflect a rotation out of sectors vulnerable to prolonged tight monetary conditions, while the Nasdaq’s slight gain was driven largely by mega-cap tech earnings outperformance ([zacks.com](https://www.zacks.com/stock/news/2643571/stock-market-news-for-jul-31-2025?utm_source=chatgpt.com)).

## Company-Specific Factors

Second-Quarter Financial Results
On July 23, Tesla reported Q2 revenue of $22.50 billion, down 12% year-over-year, with automotive revenue contracting 16%. Adjusted EPS came in at $0.40, missing consensus estimates of $0.43. These results, described by analysts as among the weakest in Tesla’s history, have intensified scrutiny of the company’s near-term growth prospects ([tradingview.com](https://www.tradingview.com/news/reuters.com%2C2025%3Anewsml_L4N3TK1VU%3A0-tesla-falls-as-second-quarter-revenue-declines/?utm_source=chatgpt.com)).

Production and Competitive Challenges
On its recent earnings call, management acknowledged ongoing production delays for its lower-cost model—now slated for volume production in late 2025—and noted that the Cybertruck has underperformed initial sales targets. With U.S. EV tax credits expiring in September and competition from both legacy automakers and China’s BYD intensifying, Tesla faces mounting pressure to reinvigorate demand through new product introductions and price competitiveness ([index.businessinsurance.com](https://index.businessinsurance.com/businessinsurance/article/marketminute-2025-7-24-tesla-share-plunge-on-production-delays-and-diminishing-ev-leadership-stock-analysis-nasdaqtsla?utm_source=chatgpt.com)).

## Outlook

Tesla’s 3.4% sell-off on July 31 underscores its sensitivity to broader monetary policy stances and internal execution risks. As investors digest a mixed macroeconomic backdrop—sticky inflation, a resilient labor market and a Fed reluctant to ease—and await clarity on Tesla’s affordable model rollout and robotaxi ambitions, further volatility in TSLA shares can be expected. The company’s ability to stabilize revenues, secure supply chains for advanced chips (notably following its $16.5 billion Samsung agreement announced July 28) and navigate subsidy expirations will be critical in shaping the next leg of its stock performance.

Tesla Stock Daily Drive