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Investing.com -- Tesla's (NASDAQ:TSLA) stock experienced a dramatic 84% surge following the 2024 Presidential election, primarily driven by CEO Elon Musk’s close ties to U.S. President Donald Trump.  Now, all those gains have vanished into thin air.

The stock, which closed at $251.44 before the election results were announced, now trades around $221. The stock is down 55% from its post-Trump highs, including today's 16% swoon.

A significant concern among investors is Musk’s involvement with the Department of Government Efficiency (DOGE), which some believe is deterring buyers, particularly in international markets and more liberal areas of the U.S.

Over the past few weeks, protesters have swarmed Tesla dealerships across the U.S. and Europe amid growing backlash over Musk. Demonstrations erupted at Tesla showrooms in Portland, Chicago, and New York, while reports of vandalism surfaced nationwide. The unrest has also spread to Europe, with similar incidents reported in Germany, France, and Portugal.

Tesla’s sales are under pressure as backlash against Musk alienates its predominantly liberal customer base, adding to challenges from rising competition in China and Europe from rivals like BYD (SZ:002594) and SAIC Motor. In January, Tesla’s European sales fell 45% while competitors gained market share.

Wall Street analysts are starting to adjust forecasts amid the backlash.

Today, UBS analyst Joseph Spak lowered his first quarter and 2025 delivery forecast and said he sees 30% downside to the 2025 EPS consensus.

“We are lowering our 1Q25 delivery forecast to 367k from the 437k… Moreover, our 2025 delivery forecast is now ~1.7mm units, or down -5% y/y. This is ~14% below current consensus that is looking for ~10% unit growth,” Spak stated.

Meanwhile, the firm’s new 2025 EPS consensus is $2.02, versus $3.16 prior and 30% below the consensus, which has decreased by about 10% since the end of January.

The analyst cut his price target on Tesla to $225 from $259 and reiterated a Sell rating on the stock.

This content was originally published on http://Investing.com