I’m bearish on Tesla (NASDAQ:TSLA), and I can’t help but think that Elon Musk’s announcement regarding the unveiling of a Robotaxi on August 8 is something of a distraction. So, why would Musk be distracting us? Well, vehicle sales are slowing, margins are falling, and Tesla’s dominance in the electric vehicle (EV) segment is over. Plus, the stock’s valuation is high. This is why I’m bearish on TSLA stock, but I don’t expect it to move much until we know what Musk has in store for us on August 8.
Tesla’s Performance Is Underwhelming
In Q1, Tesla reported a 9% decline in quarterly revenue — the steepest year-over-year decline since 2012 — and a 48% decrease in adjusted profit. The company’s adjusted earnings per share (EPS) came in at 45 cents versus the expected 49 cents. Also, revenue for the quarter fell to $21.3 billion — less than the $22.2 billion the…
