Why Tesla Stock Was Slammed on Friday

Tesla (NASDAQ: TSLA) shares fell on Friday, falling as much as 10.8 percent at one point during the trading day.

The stock had dropped 6.4 percent by the time the market closed.

The electric-car maker's stock was likely dragged down by a poor day in the market for many firms, particularly growth stocks like Tesla. 

However, the ongoing turmoil surrounding Tesla CEO Elon Musk's plan to acquire Twitter (NYSE: TWTR) may be weighing on the stock.

Though Tesla's company has performed well this year, its stock has not. The stock is down 37% year to date, far worse than the S&P 500's 18% drop during the same period.

The stock's declining trajectory has been mostly attributed to investors' aversion to highly priced growth firms. 

Tesla is a growth company, with a price-to-earnings ratio of around 90 and a rapidly increasing top line.

Click Here

Follow For More Updates