Tesla stock has become the worst performer in the S&P 500 in 2024, down 29% since the beginning of the year.
The electric car company's stock fell, and the S&P 500 had its best first-quarter performance in five years, with the three US indices hitting record highs.
The decline in the performance of the company's stock, which is run by Elon Musk, came amid adjustments by investors and analysts alike to Tesla's growth expectations.
The company's January results came in below expectations, with net profits down about 40% year-on-year. Analysts expect further negative performance from the company run by Musk in the current first quarter.
Tesla is set to report its quarterly results next month, and the median forecast is for vehicle deliveries to hit 457 million in the first quarter, up about 8% year-over-year but the slowest growth since at least 2019.
EPS estimates are projected at $0.6, making it the company's least profitable quarter since Q2 2022.
Tesla's weak expected earnings are due to several factors, including high interest payments, weak demand for electric cars in Europe and America, and an expected slowdown in China, which accounts for a fifth of the company's revenue.
The decline in Tesla's stock was reflected in the wealth of the company's CEO, Elon Musk, whose wealth, according to Forbes estimates, is worth about $195.3 billion, which is $55.1 billion less than it was at the end of 2023.
