Tesla stock closes at a five-month low, as concerns grow about demand for electric vehicles

Tesla shares

TSLA

It ended Monday down nearly 5%, its lowest close since May 26, continuing the choppy decline since the company reported third-quarter results earlier this month. The decline was also the stock’s largest single-day percentage decline since October 19, one day after the earnings report. Tesla at the time also sought to temper expectations about its newest model, the Cybertruck, and how long it would take the company to reach volume production of the electric pickup truck. Investor concerns were also raised on Monday by news about Japanese company Panasonic

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tesla battery partner, Reducing its domestic production of batteries, Citing slowing sales for Tesla. Confidence in strong demand for electric vehicles has been shaken in recent days, with Ford executives saying last week that electric vehicle owners are not willing to pay a premium for electric vehicles over cars with internal combustion engines. However, Tesla has gained about 60% so far this year, compared to gains of about 9% for the S&P 500.

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