Tesla (TSLA) Stock Dropped 26% in July, Worst Month in 3 Years

Tesla (TSLA) stock dropped 26% in July, marking the worst monthly performance in over three years. This decline was the largest since December 2022, following a 64% drop in trailing 12-month net income over the past three years, despite an 8% revenue increase. Tesla's stock currently trades at over 150 times forward earnings, indicating high valuation compared to its EV business. The decline suggests a cautious outlook among investors, weighing the viability of Musk's AI and robotics aspirations amidst falling profitability.