NEW JERSEY, June 6 — Tesla is the worst-performing large-cap stock this year, thanks to declining electric vehicle demand, chief executive Elon Musk’s political controversies over his ties to far-right groups, and now, his public feud with United States President Donald Trump.
Tesla shares slumped yesterday, after Trump on social media threatened to cut off government contracts with Elon Musk’s companies, following Musk’s sharp criticism of the president’s signature tax and spending bill on his X social media platform.
The market capitalisation of Tesla Inc has fallen 29.3 per cent to US$917 billion (RM3.87 trillion) so far this year, the biggest drop among big companies globally.
Tesla, which ranked eighth internationally in market capitalisation at the beginning of the year, slipped to 10th as of yesterday.
The company’s shares rose in early trading today, as investors took some comfort from White House aides scheduling a call with Musk to broker peace after a public feud with Trump.
Apple, which began the year as the world’s most valuable company, has slipped to No.3 this year, dragged down by weak demand in China, Trump’s tariff threats, and slower progress in AI. Its market capitalisation has declined over 20 per cent this year, falling to US$2.99 trillion as of yesterday.
Meanwhile, Microsoft has claimed the No.1 spot in market capitalisation, driven by surging demand for AI services, including its partnership with OpenAI and the integration of tools like Microsoft 365 Copilot.
— Reuters
