TSLA: Tesla’s Year Goes from Bad to Worse After Deliveries Plunge and Rivals Show Up

EV maker’s market cap hovers just above $500 billion after its stock dropped 5% on Tuesday while Xiaomi shares jumped 9% on EV launch.

Key Points:

• Tesla stock stuck, digs a deeper hole.
• Elon Musk is now worth $47 billion less.
• Rivals roll out EVs to take on the kingpin.
• Tesla stock TSLA just upgraded its bad year to worse after the latest delivery figure came out sharply lower. For the first quarter, the EV kingpin posted a 9% annualized drop in shipped vehicles to 386,810 units, down from 422,875 a year ago. It was the worst 12-month decline in Tesla’s track record since inception. Shares of the company dropped 5% on Tuesday as traders reacted to the news.
• That 5% adds to a bruising 33% decline in Tesla’s shares so far this year. In other words, it has lost a whopping $260 billion from its market cap since January to float near $500 billion. Elon Musk, the company’s largest individual shareholder, saw his 20% dwindle by the same rate. He’s now worth $47 billion less than when he started the year and is the world’s worst money maker according to the Bloomberg Billionaires Index.
• Meanwhile, rivals don’t sit in neutral gear. Phone maker Xiaomi 1810 debuted its first electric car last week with its shares jumping about 15%, or up by $4 billion, on Tuesday. The new ride—Xiaomi SU7—clocked up 10,000 reservations in 4 minutes and 89,000 in the first 24 hours. Another EV player, Rivian RIVN marked a 70% rise in sales for the first quarter, delivering 13,588 vehicles.