U.S. car manufacturer Tesla's stock fell by about 50% from its record level in November last year, against the backdrop of continued inflation and strong stock market sales due to fears of further price decline, which particularly affected developing and technological companies.
At the closing of the stock market, last Friday saw a decline of 7.6 per cent to $204.99 per unit, reducing its market capitalization to $642 billion. This is half the peak value of Tesla's shares last year of $409.97.
The decline in the value of Tesla shares is taking place against a background of stock market collapse due to investors ' fear of an increased economic downturn, accompanied by rising inflation and higher interest rates imposed by the regulator, with higher-value, higher-risk shares of growth being targeted.
In particular, the supply of Tesla electric vehicles in the third quarter was affected by logistical problems, and some analysts believe that the rising prices of its electric vehicles may have an impact on demand. The production at the Tesla plant in Shanghai is disrupted by the Lodow due to Covid-19. In addition, like all car manufacturers, the company has also experienced a shortage of components and an increase in commodity prices.
According to Bloomberg's resource, C.E.O. Ilon Mask's problems with the Twitter Inc. deal also affected the company's stock because of investors' fears that it was too spread among a few complex businesses.