Tesla (TSLA) is no longer among the 10 largest stocks by market capitalization in the benchmark S&P 500 index.
Tesla has fallen out of the Top 10 S&P 500 socks as its share price continues to decline. In the past five trading sessions, the electric vehicle maker’s stock has fallen 14% to $176.54 U.S. per share.
So far in 2024, Tesla’s stock has decreased nearly 30%, bringing its decline over the past 12 months to 6%.
The result is that Tesla’s stock now has a market cap of $553 billion U.S., just below Visa’s (V) $563 billion U.S. market capitalization.
The credit-card giant has now replaced Tesla as the 10th most valuable company listed in the S&P 500 index.
The slump in Tesla’s stock comes amid concerns of rising competition in the electric vehicle space and declining sales, particularly in China.
To boost sales, Tesla has aggressively discounted its electric vehicles over the past year, hurting profits and margins in the process.
In 2023, Tesla’s operating profit margin came in at 9%, down from 17% in 2022. Company executives warned during their last earnings call with media and analysts that they expect a further slowdown in 2024.
