This article first appeared on GuruFocus.
European electric vehicle sales trends in 2025 show a widening gap between legacy EV leaders and fast-rising Chinese competitors, with Tesla (NASDAQ:TSLA) losing ground as BYD (BYDDF) gains momentum.
New-car registrations for Tesla models across the European Union, the U.K., and several nearby markets fell 20% year over year in December to 35,280 units, data from the European Automobile Manufacturers’ Association show. For the full year, Tesla registrations slid 27% to 238,656 units, pointing to softer demand in a region that once anchored its global growth story.
BYD moved in the opposite direction. The Chinese automaker posted a 268.6% jump in European sales during 2025, reaching 187,657 units. Its regional market share rose to 1.4%, up from 0.4% a year earlier, as it expanded its lineup and pricing reach.
Battery-electric vehicles accounted for 17.4% of total EU auto sales in 2025, up from 13.6% in 2024. Hybrid-electric vehicles remained the most popular option, capturing 34.5% of the market.
Sales data for December also point to shifting preferences. Battery-electric registrations climbed 51%, plug-in hybrids rose 36.7%, and hybrid-electric vehicles grew 5.8%, while petrol and diesel continued to lose share.
Based on the one year price targets offered by 41 analysts, the average target price for Tesla Inc is $389.52 with a high estimate of $600.00 and a low estimate of $25.28. The average target implies a downside of -10.50% from the current price of $435.20.
Based on GuruFocus estimates, the estimated GF Value for Tesla Inc in one year is $272.14, suggesting a downside of -37.47% from the current price of $435.20. gf value is gurufocus’ estimate of the fair value that the stock should be traded at. it is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business’ performance. For deeper insights, visit the forecast page.
