Why Tesla Stock Plunged After Record Deliveries: Tax Credit Expiry, Higher Leases, and Demand Risks
Tesla Stock Plunge, the Truth Behind the Drop ― Analysis as of October 3, 2025 Tesla stock fell despite record Q3 deliveries of 497,099 vehicles. Tax credit expiry, higher lease costs, rising mortgage rates, and weak demand are key risks. --- Part I. Why the Stock Fell Despite Record Deliveries On October 2, 2025 (local time), Tesla announced that its Q3 vehicle deliveries totaled 497,099 units. This marked an increase of more than 12% year-over-year and was the highest quarterly delivery figure in Tesla’s history. On the surface, it looked like a “massive positive.” Yet the market’s reaction was the opposite. After a brief rebound, Tesla’s stock slipped and closed at $436, down about 5% from the previous day. Why did investors respond so paradoxically to such strong numbers? Let’s break it down step by step. --- 📉 1) Expectations Were Already Priced In As the saying goes in the stock market, “Buy the rumor, sell the news.” Often when good news becomes official, profit-tak...