Tesla faces potential decline in annual deliveries for first time since 2011
Tesla is facing challenges with weak demand and increased competition in the electric vehicle market. Its stock has dropped 39% since its peak in 2021, and the company reported a 6.5% decline in EV deliveries in the first half of 2024. For the first time since launching the Model S in 2011, Tesla's annual deliveries may decrease in 2024. The company needs to deliver over 514,000 cars in the final quarter to surpass last year's total, which is a significant challenge. Tesla's stock is currently trading at a high price-to-earnings ratio of 70, much higher than its peers. Analysts predict a decline in earnings per share for 2024, raising concerns about the stock's valuation amid its core business struggles.