Core Viewpoint - Tesla's stock has experienced a significant decline of 5.1% due to concerns regarding CEO Elon Musk's proposed $1 trillion compensation plan and opposition from Norway's $2 trillion sovereign wealth fund, which is one of Tesla's largest shareholders [1] Financial Performance - Tesla is currently valued at $1.4 trillion with a revenue of $96 billion, trading at $444.26 [5] - The company has reported a revenue growth of -1.6% over the last 12 months and an operating margin of 5.1% [5] - Tesla's stock is trading at a P/E multiple of 282.3 and a P/EBIT multiple of 205.7 [5] Historical Stock Performance - TSLA stock has seen a decline of 73.6% from a high of $409.97 on November 4, 2021, to $108.10 on January 3, 2023, while the S&P 500 declined by 25.4% during the same period [6] - The stock fully regained its pre-crisis peak by December 11, 2024, reaching a high of $479.86 on December 17, 2024, and is currently trading at $444.26 [6] - Historical data shows that TSLA has returned a median of 60.8% within a year after substantial dips since 2010 [5] Risk and Recovery Analysis - The stock has underperformed compared to the S&P 500 during various economic downturns, raising concerns about its downturn resilience [3] - TSLA stock dropped by 60.6% from a high of $61.16 on February 19, 2020, to $24.08 on March 18, 2020, compared to a peak-to-trough decline of 33.9% for the S&P 500, but fully recovered by June 8, 2020 [8] - The stock also decreased by 53.5% from a peak of $25.67 on September 18, 2017, to $11.93 on June 3, 2019, with a full recovery by December 18, 2019 [8]