Tesla, led by CEO Elon Musk, saw its shares fall 4.61% to $363.65 on April 2, 2026, after reporting disappointing vehicle delivery and production numbers for the first quarter. The company delivered 358,023 vehicles, which is a 14.4% decrease from the previous quarter and below the 372,160 units that analysts had expected. Despite a 6% increase in deliveries compared to Q1 2025, the overall performance reflects ongoing challenges, including weak demand in the US and fierce competition from Chinese electric vehicle manufacturers. This marks the first time in Tesla's history that it has experienced two consecutive quarters of declining sales. Additionally, the company's energy sector underperformed, deploying only 8.8 GWh of energy storage products, falling short of market expectations. Tesla's shares have now declined 27% from their peak of $498.83, and analysts have lowered their delivery forecasts for 2026, raising concerns about a potential third consecutive annual decline in sales. The company is set to report its full financial results for Q1 on April 22, 2026.