Following a strong technological surge that greatly raised their market capitalizations, Tesla (TSLA, Financials), Meta Platforms (META, Financials), and Broadcom (AVGO, Financials) have had their impact reflected in the Nasdaq 100 Index cut down. Announced on December 24, 2024, the change highlights the need to balance the index composition as several large-cap firms progressively dominated its weight.
With predicted annual rise of 6% year over year, Tesla is expected to reach record Q4 2024 car deliveries—roughly 515,000 units. This increases the yearly total—which matches the numbers for 2023—to an anticipated 1.81 million automobiles.
Analysts, like Barclays's Dan Levy, point out that these high delivery figures would not have a major effect on Tesla's stock price, so they attribute present fluctuations more to technical rather than fundamental reasons.
Starting a recall spanning around 700,000 Model 3, Model Y, and Cybertruck cars, Tesla The problem starts with a tire-pressure monitoring system breakdown. By means of an over-the-air software update, the organization is addressing this and thereby eliminating the need for actual service visits.
For Tesla's development in 2024 deliveries, the Cybertruck's success is absolutely essential. Still, there are questions about low demand; stories of declining registrations and longer market days abound.
Hyundai and BYD (BYDDY, Financials), both of which are implementing aggressive price policies and boosting EV manufacture to acquire market share, provide Tesla more competition.
Additionally seen in the index adjustment were weights cut by Meta Platforms (META, Financials) and Broadcom (AVGO, Financials). The cut seeks to lessen the disproportionate impact of a small number of mega-cap corporations in an index meant to reflect more general technology-sector performance.
