Tesla share price gains 5% on US market recovery even as stock crashes 40% YTD: Elon Musk loses $4.4 billion

Tesla share price: Shares of tech billionaire Elon Musk-led Tesla Inc gained more than five per cent on Tuesday, April 8, tracking a rebound in the US stock market, with the dominant group of US stocks known as the “Magnificent Seven” bouncing back, helping power the broad rally on the Wall Street.

Chipmaker Nvidia and Tesla led the pack in midday trading with a gain of 5.5 per cent and 5.4 per cent, respectively. Microsoft, Apple, Amazon, Meta Platforms and Google parent Alphabet are all up between three per cent and 2.1 per cent. The solid rebound comes a day after the a mixed finish for the group.

Also Read: Nvidia falls over 4% in one week: Will CEO Jensen Huang’s keynote address spark a stock rebound?

Tesla share price trend

Tesla stock market value has lost nearly $400 billion since the S&P 500 hit a peak on February 19, a staggering 35 per cent plunge. The index, by contrast, has fallen 17 per cent. The loss in market cap has drastically impacted Elon Musk's wealth, which has dropped byover $4.4 billion to $287 billion in 2025. 

Tesla share price has crashed nearly 40 per cent year-to-date (YTD). However, the electric vehicle (EV) major stock has risen 29 per cent in one year. Investors pushed Tesla stock to a record high after Donald Trump was elected on hopes Musk’s close ties would help the company. Instead, car buyers angry at Musk’s support for Trump and right-wing politicians boycotted his company.

Also Read: BMW India’s MD & CEO is ‘not worried’ about Elon Musk’s Tesla coming to country. Here’s why…

A sharp decline Monday put Tesla’s stock at $233.29 and below its price on March 19, a key date. That is when Commerce Secretary Howard Lutnick made a surprising endorsement, urging Fox TV viewers to buy the stock in violation of a federal law banning government officials from endorsing companies and stock prices. Shares recovered somewhat in premarket trading on Tuesday.

US stock market today

The Dow Jones Industrial Average (DJIA) opened 2.27 per cent higher at 38,827.1, compared to 37,965.60 points at the previous Wall Street close. The Dow is currently trading 0.66 per cent higher at 38,219.50 points. The gains on the US benchmark eroded after reports over fresh tariffs on China emerged on Tuesday. The index marked a 1,300-point rise in the early market session.

The S&P 500 index, after closing on a loss on Monday, opened 2.59 per cent higher at 5,193.57 points, compared to 5,062.25 points at the previous market close. The S&P 500 is trading 0.24 per cent higher at 5,073.22 points.

Also Read: ‘We’re coming for Elon Musk’: Hacker group reportedly plans cyberattacks on Tesla, SpaceX and more

New York-based tech-heavy Nasdaq Composite index extended its gains opening 3.70 per cent higher at 16,181.041 points, compared to 15,603.26 at the previous US market close. Nasdaq is currently trading 0.03 per cent higher at 15,604.66 points, as of 1:20 a.m. (EDT). The Nasdaq gains eased a little after the early trading session.