What’s driving Tesla’s stock plunge — and do you think it will recover soon?
Tesla Stock Plummets Amid Musk–Trump Feud and Safety Concerns
Tesla stock plunged 17.5% on June 5, 2025, its worst single-day loss in over five years. The drop, which wiped out nearly $178 billion in market value, was driven by multiple factors. A public feud between Elon Musk and President Trump escalated after Musk denounced a GOP tax bill, prompting Trump to threaten the withdrawal of federal subsidies. Weak sales numbers from Germany, renewed scrutiny over the safety of Tesla’s driver-assistance systems following a fatal crash, and profit-taking after a recent rally all contributed to the decline. The market reaction was also reflected in a surge of bearish options trading. As investors reassess Tesla's valuation and risks, this poll asks what’s really behind the plunge — and whether a rebound is likely.
Options
- It’s Musk’s clash with Trump
- Investors are cashing out after a rally
- Safety and sales concerns are catching up
- It’ll bounce back — this is temporary
- Tesla’s long-term outlook is in trouble