Tesla’s sales decline is expected to moderate, providing some reassurance to investors amid a prolonged downturn for the electric car manufacturer. Analysts estimate that Tesla likely delivered approximately 439,600 vehicles globally in the three months ending in September, according to Bloomberg data. While this figure represents a 5 per cent decrease compared to the previous year and marks Tesla’s third consecutive quarterly decline, it signifies an improvement from the first half of 2025, during which vehicle sales plummeted by 13 per cent. Tesla is an electric vehicle and clean energy company. It designs, develops, manufactures, sells, and leases electric vehicles, as well as energy generation and storage systems.
The company has been working to stabilise its core business, which faces challenges such as an ageing product line, the phasing out of US government incentives for the EV market, and negative consumer sentiment stemming from Musk’s political commentary. Recently, the chief executive has distanced himself from President Donald Trump’s administration. According to Andrew Rocco, a stock strategist at Zacks Investment Research, the delivery results will be “pivotal for Tesla moving forward.” He added that, “This quarter, they have a chance to at least show that that legacy business has stabilised.”
To distract from the sales slump, Tesla has highlighted its new driverless taxi service and its AI and robotics initiatives. Additionally, the company is seeking shareholder approval for a new compensation package for Musk, potentially valued at $US1 trillion ($1.5 trillion) if he achieves specific growth targets.
Wall Street has responded positively, with several analysts increasing their stock price targets and delivery expectations in recent days. Tesla shares experienced a significant recovery in September, soaring by 33 per cent and offsetting earlier losses, marking their best monthly performance of the year.
