Tesla, Inc. (TSLA, Financial) shares dropped 3.5% Thursday morning following the day revealed that director Robyn Denholm executed planned transactions. Denholm sold shares worth about $43.16 million at prices between $375.06 and $389.08, close to the current trading level of $378.17. She also exercised stock options, acquiring 112,390 shares at $24.73 each, totaling nearly $2.78 million. Consequently, Denholm’s direct ownership now stands at 85,000 shares.
NIO and Xiaomi (NIO, Financial) now lead in technological innovation in software-defined vehicles, leaving behind Tesla, according to the annual ranking of the software-defined Vehicle by Wards Intelligence. Sales of Tesla’s cars in Germany dropped 59%, and CEO Elon Musk is still under scrutiny over his controversial political involvement. A potential market for the Robotaxi market is ARK’s Big Ideas 2025 report that names nuclear energy, along with small modular reactor startups, as potential growth opportunities, as it identifies growth potential in steps that are short to medium-term. Furthermore, the Cybertruck, which has also qualified for the same $7,500 federal tax credit, may help Tesla’s entry price to U.S. buyers. As a marker, these developments point to a very challenging market landscape for Tesla that is beholden to market pressures and an evolving regulatory gauntlet.
Note: The article contain my own opinions.
This article first appeared on GuruFocus.