The Hits Keep on Coming for Tesla Investors

Tesla (NASDAQ: TSLA) has been a tale of two tales this year. The first part of the year brought a steep decline in share price as investors grappled with declining global sales, profits, and consumer backlash from Elon Musk's political antics. The next tale was of Tesla's swift and significant rebound in share price as investors looked to the future possibilities in artificial intelligence, robotics, and robotaxis. Tesla's next small speed bump has arrived, and this one comes in the form of disappointing news in a key market.Just about every automaker in China is having a rough time. The market much more quickly adopted electric vehicles (EVs) and the government helped subsidize domestic automakers to bolster their technology and innovation. It worked almost too well and the result was a plethora of advanced domestic electric vehicle makers that created a brutal price war. It dealt massive blows to foreign automakers that couldn't compete on product, price, or both. To make matters worse the overall industry has a problem with production overcapacity and now Chinese automakers are rushing to export vehicles overseas, potentially bringing ultra-competitive and highly advanced EVs to the U.S. doorstep which is currently protected by steep tariffs on import vehicles.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool