Tesla Chief Executive Elon Musk's brother, Kimbal Musk, who is a Tesla board member, sold 27 million worth of Tesla stock on Thursday, according to regulatory filings. That comes as TSLA stock has retreated in recent days to a critical juncture.
Kimbal Musk sold 75,000 TSLA shares for an estimated $27.59 million on Feb. 6, according to SEC filings late on Thursday. This is the first time Kimbal Musk has sold in three months.
Tesla stock enters Friday down 7.5% on the week, falling below the 50-day moving average.
TSLA fell 3.4% to 361.49, hitting a new two-month low of 360.34 intraday, during market action on Friday after booking a 1% decline to 374.32 on Thursday.
Tesla flirted with an early entry just a week ago, initially rallying after reporting fourth-quarter earnings late on Jan. 29.
Musk appeared to signal on the Q4 earnings call that 2025 could be a middling year for the EV giant, with only slight vehicle sales growth, even as he continues to sound bullish on the possibility for incredible things to come in 2026, 2027 and 2028.
Following Q4 earnings, analyst 2025 profit estimates have been coming down. As of Feb. 7, Tesla's 2025 EPS is expected to come in at $2.89, down 12.7% from the $3.31 expectation prior to Q4 earnings, according to FactSet. Estimates for 2026 have come down significantly as well.
Tesla annual earnings are now not forecast to rise above the 2002 peak of $4.07 per share until 2027, according to FactSet.
Tesla Stock Performance
On Thursday, Tesla stock undercut the low of a base with a traditional 488.54 buy point, the record high from Dec. 18, according to MarketSurge charts. If TSLA stock soon rebounds from here the pattern would be a double-bottom base with a 439.74 buy point.
Shares have tumbled since hitting resistance on Jan. 31 at a downward-sloping trendline. Tesla stock could break down from here, or this could be a bullish shakeout.
A clear move back above the 50-day line could offer an early entry. The 400 level and, soon, the trendline, also roughly coincide.
It's possible that Tesla's retreat from Friday's highs reflect an ongoing re-evaluation of Tesla's fourht-quarter earnings report and conference call.
TSLA stock is on the IBD Leaderboard watchlist.
The stock consolidated in January, pausing after a scorching hot fourth quarter where Tesla stock logged most of its 63% advance for 2024, especially after President Donald Trump's election win.
Tesla stock ranks first in the 35-stock IBD Auto Manufacturers industry group. The stock has an 89 Composite Rating out of a best-possible 99. Shares also have a 96 Relative Strength Rating and an 83 EPS Rating.
More Tesla Stock News And Analysis
Please follow Kit Norton on X @KitNorton for more coverage.
YOU MAY ALSO LIKE:
Is Tesla Stock A Buy Or A Sell?
Get Full Access To IBD Stock Lists And Ratings
Learning How To Pick Great Stocks? Read Investor's Corner
AI Is Fueling A 'Nuclear Renaissance.' Bill Gates And Jeff Bezos Are In The Mix.
The Lithium Price Cycle Has Bottomed. What To Expect Next For These Stocks.
