Why Tesla Stock Was Falling (Again) This Week

Shares of (NASDAQ: TSLA) were falling again this week, according to data from S&P Global Market Intelligence. The electric vehicle (EV) leader announced a major recall for its new Cybertruck vehicle, has reduced the costs of autonomous vehicle software, and is still reeling from a poor delivery number for the first quarter. At one point one of the largest companies in the world by market cap, the "Magnificent Seven" stock has fallen quickly from highs this year even with the broad market soaring.

The stock is down slightly over 10% this week and 40% year to date.

Tesla released the unique-looking Cybertruck back in December 2023. With mixed reviews, it has been unclear over the first few months in production how this product would help (or hurt) Tesla's business prospects. So far, it looks to be hurting the EV maker. This week, the company announced a major recall over a faulty accelerator pedal, which could be incredibly dangerous for any customer. But perhaps the worst part about this news was how few vehicles are getting recalled.

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Source Fool.com