Tesla faces declining sales, contracting margins, and brand damage, with increased competition eroding its market share in Europe and California.

After soaring in 2023 and 2024, shares of Tesla (NASDAQ:TSLA) were battered throughout Q1 2025. And while the stock performed marginally better in Q2, the largest U.S. EV-maker slid into Q3. However,

Volume was lower on the Nasdaq exchange while higher on the New York Stock Exchange compared with Monday, in preliminary numbers. On the Nasdaq exchange, falling stocks edged out rising ones by more than 2-to-1. In yet another rotation on the NYSE, winners slightly edged out losers.

Bloomberg journalists discuss today's biggest winners and losers in the stock market. Listen for analysis on the companies making news on Wall Street.

The electric vehicle revolution has created massive winners, but the next decade could see a dramatic reversal of fortunes. One overlooked giant is already laying the groundwork.

Investors held onto hopes that the U.S. and Japan’s trade agreement could lead to a tariff breakthrough with other countries, and pushed the S&P 500 and Nasdaq Composite to fresh record highs.

Shares of electric vehicle pioneer Tesla (NASDAQ:TSLA) jumped 4% in the afternoon session after the company announced a significant, multi-billion dollar contract with Samsung Electronics to produce its next-generation AI chips.

Investors knew electric vehicle (EV) sales have been slumping for Tesla ( TSLA -8.44%). The EV leader announced a 13.5% year-over-year drop in second-quarter deliveries on July 2. Yet the stock is tanking today after Tesla reported its full second-quarter financial update today.

Tesla is scheduled to report its second-quarter results after the market closes on Wednesday, with investors expecting the electric vehicle maker's stock could make a sizable move.

US stock market today saw mixed action as the Dow Jones dropped while the S&P 500 and Nasdaq inched higher, driven by strong Alphabet earnings and cautious outlook from Tesla. Alphabet jumped over 3% after boosting its AI investment,

Tesla's market cap fell below $1 trillion, but it still reflects investors' assumptions of enormous future growth.

"Tesla is crossing the chasm to autonomy while absorbing slower volume, EV incentive elimination, tariffs and investing in new initiatives that may not make margins for years," Morgan Stanley analyst Adam Jonas, a longtime Tesla bull, wrote early Thursday.