Tesla has experienced significant drops in its stock price after passing the $1 trillion mark. The company has experienced notable growth throughout the year 2021, however, due to a probe by the Security and Exchange Commission, investigations from the National Highway Traffic Safety Administration, and fears over the Omicron Covid-19 variant Tesla has seen a drop in stock price of 6.4% falling below the $1 trillion mark.
The National Highway Traffic Safety Administration has been looking into the effectiveness and safety of Tesla’s autopilot system; this was previously reported on by Brookfield Brief and has yet to be resolved. Tesla has also recently been investigated by the Securities and Exchange Commission over a whistle-blower’s claims that Tesla’s solar panels are defective. To make matters worse for the company, recent fears over the Omicron variant and its impact on the economy followed by Elon Musk’s selloff of over $10 billion worth of stock have caused investors to question the volatility of the company’s stock.
Despite a rough December for Tesla, the company’s stock is still up 39% this year, however, due to the reasons stated above investors are speculating that the stock will continue to fall in the coming weeks.
Source: CNBC
