The decline in Tesla’s stock has widened and is now down by a third from its record high in January, making the electric car maker’s share price a major correction for the third time in about a year.
Since its record high on January 26, Tesla’s market value has fallen by nearly US$300 billion to US$550 billion, following Facebook Inc. to US$300 billion, second only to Facebook Inc. S&P 500.
Tesla shares fell over 4% on Monday and were down almost 35% from their peak on Jan. 26. The ARK Innovation ETF, which has 10% of its assets invested ark-funds.com/arkk#holdings in Tesla, fell 6%.
Technology and other growth stocks have fallen broadly since Feb. 12, when the Nadsaq closed at its most recent record high. However, Tesla’s decline during that time has been much deeper than Wall Street’s other heavyweights.