For the seventh consecutive time, Tesla ended the week as sales fell across Europe, sending TSLA stocks down. Tesla shares fell in early trade on Friday following a broader market sale due to news and President Trump’s trade war. Once the market closed, TSLA fell 4.25% over the past week, down 25% from the start of the year.
Registration data, which is a proxy for sales, was low in major regions (from 27% to 1,307 units), the Netherlands (from 62% to 443%), Denmark (from 52% to Sweden) and Sweden (from 86% to 163). Nevertheless, Tesla Norway’s registration rose 83.4% to 838 vehicles in July, according to data released by the Norwegian Road Federation. As is evident in the red stock trading, its shining territory wasn’t enough to shake investors.
There are still signs that Tesla (TSLA) can be rescued from the recent Stock Skid. One is the EV giants Signed a major transaction Korean LG Energy Solutions (LGES) is worth $4.3 billion and will supply rechargeable batteries. The deal will help Elon Musk automakers avoid importing supplies from Asian customs countries. China primarily controls the EV battery market, with Korean company Lges barely present in the US. Due to tariffs and trade wars, rule is slowly moving away from China. Manufacturers feel that importing goods from China is expensive as tariffs are premium. Therefore, Tesla is on the sidelines for South Korean LG for its recent battery deal.
Last month, Tesla CEO Elon Musk warned that Tesla was taking part in “some rough quarters.” This will draw interesting pictures for the rest of the year. However, some analysts signal the purchase opportunity for automaker investors. At press time, the TSLA was below the 200-day simple moving average midway through the 52-week range. According to analysts at CNN, the stock’s potential is very broad. The median forecast for the next 12 months will increase by 7% to 325, while CNN has also reduced its stock risk to $115.00. This marks a 62% loss for investors who currently buy it.
Investing in Tesla stocks is currently a high-risk reward decision. How will the company navigate the difficulties and return when tariffs become known in the next quarter. Analysts are mixed, but are generally optimistic about Tesla’s growth potential, suggesting potential benefits from Morgan Stanley and Piper Sandler’s high price targets.
