Everybody knew that (NASDAQ: TSLA) was going to see increasing competition in 2024. Ford was ramping up production of its F-150 Lightning and General Motors would be greatly expanding its electric vehicle (EV) lineup.

It turns out that the competition has increased, but not so much from those domestic legacy automakers. Both Ford and GM have greatly throttled back EV production plans. But another big automaker has somewhat unexpectedly become what looks to be Tesla's biggest competition. It turns out Chinese EV maker BYD (OTC: BYDDY) has ultimately surpassed Tesla to become the biggest seller of fully electric cars. Investors might want to dig into what that means for Tesla.

Tesla has looked like anything but a growth stock this year. Shares have dropped 20% so far in 2024. But BYD's success also points to why Tesla can be a great growth stock again. When BYD released a preliminary fourth-quarter and full-year 2023 update, it said 2023 profit should come in 75% to 86% higher than the prior year due to record high sales. And that's after another big jump in sales in 2022.

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Source Fool.com