Will Tesla Stock Drop Below $100 Soon?

Tesla produced 439,000 cars in the last quarter of 2022. A new record! Still, investors are not satisfied.

Tesla boss Elon Musk (51) promised too much. It predicted an “epic” fourth quarter and full-year growth of 50 percent. In reality, Tesla achieved 40 percent growth in 2022.

On Tuesday – the first day of trading in the new year – Tesla shares tumbled 12 percent because of this. At the start of Wednesday, the price of one share was around 108 francs. The stock was last valued in the summer of 2020. In December 2022 alone, the stock lost 40 percent.

Twitter takeover costs Tesla dearly

The share price knows only one direction in 2022: down. This is because Twitter was taken over by Elon Musk. To fund the $44 billion acquisition, Musk had to sell his Tesla shares and flooded the stock markets. Tesla has lost three-quarters of its value since its takeover bid in April. Added to this was the generally bad mood in the markets.

Musk had to bleed, too. Since November 2021, the Tesla boss has lost $200 billion – more than anyone before him. But it also has something to do with the fact that most of his wealth is made up of Tesla stocks. Musk now has to fear for the title of world’s richest man.

With its unique style, it is not welcomed by everyone who owns a Tesla. According to a self-initiated poll, the Twitter community doesn’t want him as CEO. 57.5 percent of the 17 million poll respondents voted against him. That’s why Musk is looking for a successor.

$100 sign in sight

This also makes it appealing to Tesla investors who want him to care more about this company. They are punishing Musk with falling prices. The $100 mark is getting closer and closer. For comparison, the stock was worth over $400 at peak times in late 2021.

But don’t be fooled either. Although Tesla shares have fallen, the company is still valued at $389 billion. This exceeds the combined value of global auto groups Toyota, General Motors, Stellantis and Ford.