Tesla Stock Stumbles, But Musk's $10 Trillion AI Bet Is In Motion

Tesla Inc. TSLA is feeling the heat in 2025, with TSLA stock down about 23% from its 52-week high of $488.54.

Trading at $374.32, TSLA stock remains below its eight, 20 and 50-day moving averages, flashing strong bearish signals. But if history has taught us anything, betting against CEO Elon Musk isn't always wise.

Enter Optimus: Tesla's Robot Revolution

While Tesla's EV sales struggle, Musk is doubling down on AI and robotics. The company is aggressively hiring engineers and technicians at its Fremont factory to accelerate the rollout of its Optimus humanoid robot.

Musk envisions thousands of units hitting factory floors this year, with a long-term ambition of turning Optimus into a $10 trillion market disruptor.

Production costs? Targeted below $20K per unit once scaled.

Tailwinds & Turbulence: What's Next For Tesla?

Despite recent struggles, Tesla still has major catalysts in play:

FSD expansion into China and Europe
New Model Y production ramp-up
Cybercabs launching in Austin this summer
Price hikes on the Model X in the U.S. and Canada

But not all roads are smooth. Tesla's China-made EV sales dropped 11.5% in January, with Model 3 and Model Y deliveries tumbling 32.6% from December. European sales are also slipping, as competition from BYD intensifies—the Chinese EV giant posted a staggering 47.5% YoY sales jump.

Is TSLA Stock Set For A Comeback?

The technical picture remains bearish, but Tesla's 200-day moving average at $267.87 hints at a longer-term uptrend. With AI-driven robots, FSD expansion and new product launches in the pipeline, Tesla's 2025 could be a rollercoaster.

Will TSLA stock rebound or is more turbulence ahead?

Read Next: