Tesla (TSLA) stock has seen a steep dropoff in the past month, falling over 27%. Shares are down over 40% from their all-time high back in December 2024. The company thrived in the first months following Donald Trump’s election win, with co-founder Elon Musk joining the new president’s administration. The company also had solid earnings to close out 2024, sending its stock to new records. However, in 2025 thus far Tesla has struggled on the stock market.
Elon Musk’s recent moves and political activities are having a reverse effect on the stock, as sales fall especially in the UK. The company is underperforming in the majority of Europe in 2025, which has had a significant impact on TSLA’s stock performance. Also as a result, Tesla is now outside of the $1 trillion company market cap club, and investors are looking for any signs of reversal.
Can Tesla Stock Reclaim $400 in 2025?
Elon Musk’s automating company is currently worth just over $280 per share on the stock market. This is far below the near $500 record stock value it possessed just three months ago.
Although there is reason to be pessimistic about the company this year, there is also some upside related to the stock. Indeed, it still has tremendous potential, with the technological developments of the company proving to be a point of focus. If it does hit on some of its more ambitious projects, it could make up for much of its losses and then some. These projects include its Robotaxi and Optimus robots, which Wall Street has previously shown optimism about.
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Looking to the stock’s potential to reverse this trend, Wall Street is mixed on Tesla (TSLA). Of 56 analysts surveyed by CNN, only 46% have a buy rating on the stock. Alternatively, 30% have called to hold, with 23% urging investors to sell. Moreover, it holds a median price target of $412, up 33%. However, its high-end projection sits at $1,000 and represents a 225% upside. Meanwhile, its low-end forecasts sit at $135, with a downside of 56%.