As a result, total revenues for 2025 only fell by 3 percent. But Tesla saw a 38 percent drop in income from operations, and its expenses went up by 23 percent. As a result, the company’s once-envied profit margin was just 4.9 percent for the year, down from 7.2 percent last year. (In 2022, Tesla had a 23.8 percent profit margin.)

Tesla Inc. saw 2025 revenue fall as cash flow rose to $6.2B; 2026 focus shifts to Cybercab, Optimus, and Cortex 2 AI. Find out why TSLA stock is a hold.

Tesla has reported its first-ever annual revenue decline, just as the automaker’s chief executive officer Elon Musk ramps up billions of dollars in investment into artificial intelligence, robotaxis and humanoid robots.

Tesla’s brand value fell sharply in 2025 as weak product momentum and political controversy weighed on consumer trust, even as rivals gained ground.

Tesla, Inc. outlook: weak deliveries, falling profits, and rich valuation vs peers. Click for this updated look at TSLA stock following the latest earnings.

As Tesla diversifies into humanoid robots and self-driving cars, its Chinese competitors are also moving into flying cars, robots and chips.

TSLA stock plummeted 73.6% from a peak of $409.97 on 4 November 2021 to $108.10 on 3 January 2023, compared to a peak-to-trough decline of 25.4% for the S&P 500. Thereafter, the stock surged to a high of $489.88 on 16 December 2025, and presently trades at $447.20