Tesla's stock price has been hammered by the market in recent days. In the latest earnings season, Tesla is the only one among the "Big Seven Tech" that did not exceed market expectations in the fourth quarter of 2023.
At the start of a new week on Monday, Tesla suffered another disadvantage. SAP, a German provider of enterprise application software, has removed Tesla from its list of automakers.
SAP Team Principal Steffen Krautwasser saidTesla's cars are more volatile than other manufacturers, making it more difficult for companies to plan, which poses a higher risk. In addition, the delivery of Tesla vehicles is also the reason for SAP's decision. Tesla cars are often delivered earlier than agreed, which is problematic for customers.
SAP currently has a total of 2Of the 90,000 vehicles, it is unclear how many of them are Tesla, but it said Tesla cars make up a small proportion of the company's global fleet.
Although the overall number is small, SAP's exit means that Musk's efforts to expand the corporate car market have been frustratedThis is undoubtedly worse when market sentiment has been sluggish since the beginning of the year.
Tesla's frequent tweaking of its cars is well known. Just this past weekend, Tesla** raised the price of the long-range Model 3 by $1,000 to $46,990, compared to $45,990 previously**.
After the news that SAP excluded Tesla from the list of car dealers, came outTesla's U.S. stock market fell about 7% intraday on MondayThe cumulative decline in its stock price in the last five trading days has expanded to more than 10%.And the year-to-date decline has been a staggering 30% in just over a month. However, Tesla's intraday decline has narrowed since then, but its performance is still significantly worse than that of U.S. stocks**.
In a report released later last month, JPMorgan analyst Ryan Brinkman warned that Tesla's share price has a lot of downside as the company's price-cutting strategy eats into profits and fails to significantly boost revenue. JPMorgan Chase warned that Tesla's stock could fall another 30%, with a price target of just $130.
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