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StocksMediumUpdated•Originally published 2 July 2026•Updated 2 July 2026•
1 min read

Tesla Marks Worst Trading Day in a Year Despite Beating Delivery Estimates

Key Facts

1Tesla shares fell 7% to $395.86 in morning trading.
2Tesla reported strong Q2 2026 delivery numbers that cleared Wall Street expectations.
3Nio shares also slipped following its own delivery update.

In a move highlighting intense selling pressure, Tesla shares recorded their worst single-day performance in a year, overshadowing a significant beat in Q2 delivery numbers. The stock plummeted 7% to $395.86, as investors ignored the positive operational surprise in favor of a massive 'sell the news' reaction, signaling a potential shift in market sentiment toward the EV giant.

This historic decline occurred alongside broader volatility in the electric vehicle space, with peer Nio also seeing its shares slip following delivery updates. Per market data, NIO closed at $4.97 on July 1, 2026, while Tesla's valuation faced scrutiny over profit margins that were previously squeezed by aggressive price cuts aimed at maintaining market share against Chinese competitors.

Traders are now focused on technical levels following the breach of the $400 psychological mark, noting the stock sat at $425.30 (close July 1, 2026) prior to the rout. Looking ahead, the China Manufacturing PMI scheduled for June 30 remains a critical catalyst, as it will provide essential data on demand trends in Tesla's most vital growth market.