Tesla’s Market Share Just Plunged to a 2017 Low. Is This a Sign to Ditch TSLA Stock for Good?

Core Viewpoint - Tesla's market share in the U.S. has significantly declined, reaching its lowest level since 2017, which raises concerns about the company's competitive position in the EV market [1][3]. Group 1: Market Share and Competition - Tesla's share of nationwide EV sales fell to 38% in August, down from over 80% at its peak [1]. - The decline in market share indicates that legacy automakers and new entrants are gaining traction in the EV space, leading to intensified competition for Tesla [3]. - The loss of market share is viewed as a strategic red flag, suggesting potential challenges in maintaining brand exclusivity and pricing power [4]. Group 2: Stock Performance and Analyst Opinions - Tesla stock has been range-bound over the past four months but is up more than 60% from its year-to-date low set in April [2]. - Morgan Stanley's senior analyst Adam Jonas maintains a long-term bullish outlook on Tesla, suggesting that the proposed $1 trillion milestone-based pay plan for Elon Musk could benefit shareholders [5][6]. - Despite Jonas' positive view, there is caution among other Wall Street analysts, indicating a lack of consensus on Tesla's stock outlook [7].