Tesla reported a 13% decline in sales for Q1 2025, with 336,681 deliveries compared to 387,000 during the same period last year. This drop is attributed to an aging lineup, heightened competition from rivals like BYD, and backlash against CEO Elon Musk’s political involvement, causing significant reputational damage. Analysts had anticipated higher sales, predicting up to 408,000 deliveries. In Europe, Tesla's market share plummeted from 17.9% to 9.3%. The stock has suffered its worst quarter since 2022, losing 36%, a loss of $460 billion in market capitalization, signaling potential ongoing challenges for the automaker.