Tesla Continues to Struggle Amid Falling EV Demand

Tesla’s latest earnings disappointed analysts and investors for a 4th consecutive quarter this week, as the healthiest US EV pure play continues struggling amid declining consumer demand.

As was the case in Q1 2024 and Q4 2023, Tesla’s overall sales declined in real terms in Q2 despite its implementation of extraordinary price cuts during the quarter. Tesla’s deliveries of 443,956 unit were down 4.8% from Q2 2023. Even more telling of the overall market struggles, America’s most stable EV maker saw its profits for Q2 drop by 7% compared to a year ago despite a 2% rise in revenue. Tesla’s stock fell by 8% in after hours trading following its report.

But, despite Tesla’s struggles, no one should be shedding any tears for Elon Musk. Here’s why.