Tesla Stock Drops as Deliveries Miss Forecasts

After starting off the first trading day of 2025 in positive territory, major U.S. equities indexes reversed course in the afternoon to end the session lower.

The S&P 500 fell 0.2% on Thursday, extending a streak of down days dating back to last week’s return from the Christmas holiday. The Nasdaq and the Dow also moved lower following this Wednesday’s New Year’s Day pause, slipping 0.2% and 0.4%, respectively.

Tesla (TSLA) shares tumbled 6.1%, losing the most of any S&P 500 stock as 2025 trading kicked off. Thursday’s decline came after the carmaker reported lower-than-expected vehicle deliveries for the fourth quarter, logging a year-over-year drop in delivery figures. The annual slump suggests that demand and the economic environment could be weighing on the company. At the same time, Tesla also faces stiff competition in the electric vehicle (EV) market from China’s BYD (BYDDY) and a number of other players.

Boeing (BA) stock sank 2.9% on Thursday. The tragic crash in South Korea last weekend involving one of a 737-800 aircraft was the latest in a string of safety incidents involving Boeing planes. However, analysts at Deutsche Bank noted the outlook could brighten for Boeing stock in 2025, pointing to expected production improvements and robust demand trends in the aerospace and defense sector.

Apple (AAPL) announced discounts on its current iPhone models in China as it aims to keep pace with domestic rivals in the key smartphone market. The tech giant also agreed to pay a $95 million cash settlement related to claims that its voice assistant Siri compromised users’ privacy. Apple shares dropped 2.6%.

Nuclear energy stocks powered higher to start the new year after Maryland-based utility Constellation Energy (CEG) announced that it secured a 10-year contract worth $840 million with the U.S. General Services Administration. Under the deal, Constellation will provide electricity to power a wide range of government agencies. CEG shares jumped 8.4%, while shares of fellow nuclear-focused power generator Vistra Corp. (VST) surged 8.6% to notch Thursday’s top performance in the S&P 500.

Shares of Texas Pacific Land Corp. (TPL), an owner of significant acreage in the oil-rich Permian Basin, gained 6.7%. The stock saw significant volatility in the final months of 2024 surrounding its late-November addition to the S&P 500 and as the century-old land trust explores alternative revenue sources, including bitcoin mining, data centers, and alternative energy.

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Following a difficult year in 2024, solar power stocks were another bright spot in the markets as 2025 trading began. The strong day for the solar industry followed a report from Tesla showing a record high in energy storage deployments. Shares of solar equipment providers First Solar (FSLR) and Enphase Energy (ENPH) surged 5.8% and 3.9%, respectively.