Why Tesla (TSLA) Shares Are Falling Today
Shares of electric vehicle pioneer Tesla fell 4.4% in the morning session after stocks of electric vehicle makers tumbled following reports that the new Trump Administration may eliminate subsidies for electric vehicles. There are also worries that the Trump administration might impose more restrictions on other programs, including grants and tax credits, which could weaken the adoption of electric vehicles.The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Tesla?Tesla’s shares are extremely volatile and have had 112 moves greater than 2.5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are