If you didn’t buy Tesla at $160 but saw it rise to $460, the key question now is: What has changed fundamentally?

1. Fundamentals – Have They Changed?

• Revenue & Margins: Tesla’s growth has slowed compared to previous years. Margins have been under pressure due to price cuts and rising competition.

• Deliveries & Demand: EV demand is softening, and Tesla has faced challenges in meeting previous growth expectations.

• FSD & AI: The Full Self-Driving (FSD) narrative is still developing, but regulatory hurdles remain. AI and robotics (Optimus) could be future growth drivers.

2. Market Conditions vs. Sentiment Shift

• Earlier, Tesla had the first-mover advantage, but now legacy automakers and new players (BYD, NIO) are catching up.

• Interest rates were lower when Tesla stock was at its peak. Higher rates impact high-growth stocks like Tesla.

The Key question is Moat of Tesla 

Rationale: mild positions added let Me deep dive into the business

“This update is for informational purposes only and does not constitute financial advice. It is not an offer, recommendation, or solicitation to buy or sell any securities. All investments carry risks, including potential loss of capital. Past performance is not indicative of future results. Please conduct your own research or consult a licensed financial advisor before making any investment decisions. I am not licensed by the Monetary Authority of Singapore (MAS) to provide financial advisory services.”