Musk Factor May Be Taking a Toll on Tesla Sales

Tesla released second-quarter figures on Tuesday, and while they show an improvement from the first three months of the year, they also suggest longer-term struggles for Elon Musk's company.

• Deliveries: Tesla reported 443,956 vehicle "deliveries" in the quarter, the closest approximation to "sales" the company provides, reports CNBC. That's up 14.8% from an unusually bad first quarter, but down 4.8% compared to last year. Still, the figure beat expectations, notes the Wall Street Journal, and Tesla stock was up more than 8% in morning trading.
• Big picture: This is the second straight quarter Tesla has had fewer deliveries compared to the previous year, per the Verge, which notes that Tesla's market share in the EV market has fallen from 80% in 2020 to about 50%.

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• Musk factor: Increased competition not only from legacy automakers but China is a big factor, as is so-so demand for Tesla models such as the Model Y SUV, which hasn't been updated much in recent years. But the New York Times reports that Musk's volatile reputation also might be taking a toll. Its online survey of more than 7,500 people found concerns on everything from perceived antisemitism to his management of Twitter, now X. He's "a true lightning rod," Ben Rose of Battle Road Research tells the newspaper. "There are people who swear by him and people who swear at him. No question, some of his comments are a real turnoff for some people. For a subset, enough to buy another brand."

(More Tesla stories.)