Tesla is currently experiencing a decline in its stock price for several reasons.

Firstly, the company's valuation has reached astronomical levels,

 leading investors to question its sustainability.

Additionally, Tesla faces increasing competition from traditional automakers

who are rapidly entering the electric vehicle market with their own offerings.

Concerns about supply chain issues and chip shortages have also impacted.

 Tesla's production capabilities and delivery timelines.

the recent global semiconductor shortage has further exacerbated Tesla's production challenges.