Deflating The Bubble: Tesla’s Market Cap Is Silently Imploding

Tesla’s year went from bad to worse on Tuesday, when the company’s battered share price dropped another 8 percent, bringing it down to a new 52-week low. Still the world’s most valuable car maker, Tesla’s market cap now amounts to $435 billion, down 65 percent from its peak on January 3, 2022, when the electric car maker was valued at more than $1.2 trillion. Shockingly, Tesla’s drop in market capitalization, roughly $800 billion from its peak, is bigger than the combined valuation of pretty much any legacy car manufacturer…