TLDR
- Tesla’s EU new car registrations fell 17% year-over-year in January to 8,075 units
- BYD’s EU registrations surged 165% to 18,242 units in the same period
- TSLA stock dropped 2.9%, closing at $399.83 on Monday
- US EV sales fell 30% year-over-year in January, though Tesla’s market share rose to 61%
- Wall Street consensus on TSLA is Hold, with an average price target of $396.80
Tesla’s EU registration numbers for January are in, and they don’t make for comfortable reading. The European Automobile Manufacturers’ Association (ACEA) reported Tesla registered just 8,075 new vehicles across the EU and wider European region — down 17% from 9,733 units a year ago.
🚨 BREAKING 🚨
📊 European car registration figures for January are fresh off the press!
📉New EU #car registrations decreased by 4% compared to the same period last year.
January 2026 market share update👇
🔋Battery-electric cars registered 19% of the EU market share… pic.twitter.com/tQ1TvxSwSX
— ACEA (@ACEA_auto) February 24, 2026
Tesla’s European market share slipped to 0.8%, from 1.0% in January 2025.
Meanwhile, BYD went the other direction entirely. The Chinese automaker registered 18,242 units in the same period, up 165% from 6,884 units in January 2025. That’s more than double Tesla’s count.
TSLA stock fell 2.9% on Monday, closing at $399.83. It was down a further 0.21% in Tuesday pre-market trading.
The broader EU car market was also soft. Total new-car registrations dropped 3.9% in January to 799,625 units — a five-month low. Germany and France were among the weaker markets.
Other major automakers weren’t spared either. Volkswagen registrations fell 3.8%, BMW dropped 3%, and Renault declined 15%. Stellantis bucked the trend with a 7% gain.
BYD Widens Its European Lead
BYD’s surge in Europe comes after it overtook Tesla as the world’s best-selling all-electric car brand in 2025. Tesla had held that crown for years.
Tesla’s regional market share in Europe hit a multi-year low of 1.4% last year, and the January numbers suggest the pressure isn’t letting up.
BEV market share in the EU did rise to 19.3% in January, up from 14.9% a year ago — so the broader EV segment is growing. Tesla is just not keeping pace with rivals in the region.
Back in the US, the picture was also rough. American EV sales dropped 30% year-over-year in January, partly attributed to the removal of the $7,500 federal purchase tax credit at the end of September. Average EV selling prices fell 3% in December as automakers responded with price cuts.
Tesla Holds Ground in US Market Share
One number did go Tesla’s way. Despite the sales dip, its US market share climbed to around 61% in January, up from 57% in December — and above the sub-50% levels seen when the tax credit was still active.
In China, Tesla recently launched zero-interest loan offers, triggering a broader car financing war among automakers. Chinese regulators have since issued price-compliance guidance barring automakers from selling below production costs.
Tesla stock is down roughly 8% year-to-date but remains up 22% over the past 12 months, outpacing the S&P 500 by about seven percentage points.
Wall Street’s consensus rating on TSLA sits at Hold, based on 12 Buys, 11 Holds, and 7 Sells from 30 analysts over the past three months. The average price target of $396.80 implies roughly 1% downside from current levels.
Tesla plans to spend around $20 billion on new equipment this year, compared to its typical annual spend of under $10 billion.
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