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Tesla stock hit $1,200 early in the year and almost $1,150 in April. Then it started dropping.
Mario Tama/Getty Images
Tesla
stock has been badly battered in recent weeks. It’s breaking key support levels that fundamental investors might want to note.
Coming into Monday trading, Tesla (ticker: TSLA) shares are off about 38% since the end of March. The
S&P 500
is down about 14% over that span. The
Nasdaq Composite
is down about 20%.
Pretty much everything has gone wrong for Tesla (ticker: TSLA) investors in the past few weeks. The company’s most productive plant in Shanghai was shut and is now operating at reduced capacity because of Covid-19 lockdowns in China. Reuters reported Monday that adding more employees to increase production is being pushed out a few days.
The delay might be why Tesla stock is down in early trading Monday. A documentary on Hulu produced by the
New York Times
about Tesla’s driver assistance features probably isn’t helping either. The documentary gives the impression Tesla’s system isn’t as safe as other systems. An accident from 2016 is featured prominently. Tesla’s system was exonerated by the National Highway Traffic Safety Administration in that incident. Tesla, for its part, produces quarterly safety reports that indicate Teslas are some of the safest vehicles on the roads, and says its driver assistance features required driver supervision 100% of the time.
Tesla didn’t respond to a request for comment about Shanghai production or the documentary.
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