Tesla Misses 2025 Q2 Delivery Forecasts as EV Sales Drop 13% Year Over Year

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Tesla Dealership in Boulder Colorado by Dave Dugdale / BY-SA 2.0 (https://creativecommons.org/licenses/by-sa/2.0/)

Tesla stock has been all over the map across the last few years. It was on the rise in 2023 and 2024, but the stock has recently struggled. The 2025 quarter 1 earnings report was disappointing, showing declining EV sales. In the last handful of days, the stock has done well, rising over 6%. However, it remains down over 16% year to date. Additionally, it sits at roughly 34% below its all-time high, which occurred in the last quarter of 2024. With enhanced political turmoil surrounding Elon Musk in 2025, investors are playing it safe when it comes to this company. 

Current Tesla debate surrounds the Robotaxi. Several experts believe this new rollout could revitalize growth, assuming favorable public response. However, Tesla’s infamous EV line of trucks and cars is facing continued challenges due to falling margins and demand. It all hinges on Musk’s next moves in the world of AI and autonomous vehicles. These areas are extremely risky in terms of excessive capital required and an unproven industry.

This slideshow will cover the ins and outs of Tesla stock, including its recent history, potential in the autonomous transportation market, and how political aspects are affecting the company as a whole. We’ll also discuss what the experts think, with some warning of deteriorating fundamentals, and others concluding the stock is likely to rebound. Learn about one of the most watched stocks in the 2025 market.

Tesla’s 2025 Stock Struggles

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  • TSLA is down 16.44% YTD and nearly 34% from December 2024 highs
  • A recent 6.56% rebound offers modest short-term recovery

Volatile Start to the Year

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  • Poor Q1 earnings and regulatory tensions pressured the stock
  • Q2 saw slight improvement, but volatility persisted into Q3

Robotaxi Launch Offers Hope

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  • Analysts cite Robotaxi launch as a potential long-term catalyst
  • Success depends on regulatory approval and public reception

Core EV Business Faces Pressure

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  • EV sales declined year-over-year, reducing core revenue
  • Margins are shrinking from post-pandemic highs

Beyond Cars: FSD and Robotics

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  • Tesla is investing in AI, FSD, and humanoid robotics
  • Future growth may rely on expansion beyond EVs

Political Influence and Risk

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  • Elon Musk has aligned closely with President Trump
  • Tesla stock initially surged post-election but later declined

Diverging Analyst Opinions

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  • Price targets range from $19.05 to $500 per share
  • Analysts are split with 13 ‘Buy’, 13 ‘Hold’, and 9 ‘Sell’ ratings

Tesla Delivery Forecasts Miss the Mark

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  • Q2 deliveries (~384,000) were down 13% YoY
  • 2025 estimates range from 1.95M to 2.08M units

Institutional Confidence Wanes

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  • Institutional holdings fell to 48.74%
  • Indicates declining support from major investors

Wall Street’s 2025 Targets

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  • Median price target: $293.38 (+7.43%)
  • 24/7 Wall St. target: $352.99 (+11.37%)

What’s Next for Tesla?

2025 Tesla Model Y RWD in Midnight Silver Metallic, front right by Ethan Llamas / BY-SA 4.0 (https://creativecommons.org/licenses/by-sa/4.0/)
  •  Rebound hinges on execution in AI and EV growth
  • Investors face continued uncertainty and volatility

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