By uk.finance.yahoo.com
Publication Date:
Shares in Tesla (TSLA) fell another 2% in pre-market trading on Friday, extending a 6% decline from the previous session, as broader weakness in the tech sector weighed on the stock.
The drop came amid news that Tesla (TSLA) is recalling around 10,500 units of its Powerwall 2, a backup battery designed for residential use, following a disclosure from the US Consumer Product Safety Commission on Thursday.
The company attributed the recall to a “third-party battery cell defect”, though it did not identify the supplier involved. According to the recall notice, Tesla had received 22 customer reports of Powerwall 2 units overheating, including five incidents that resulted in “minor property damage,” although there were no reported injuries.
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Tesla’s energy division, which includes the Powerwall, has been a key growth driver. In the third quarter of 2025, Tesla Energy saw revenue surge 44% to $3.42 bn, contributing to an increase in the company’s overall top line. By the end of September, Tesla’s energy segment accounted for about a quarter of the company’s total revenue, helping to offset weakness in other areas.
However, Tesla’s stock has fallen by around 10% since shareholders approved Elon Musk’s $1tn (£760bn) pay package at last week’s annual meeting. The stock’s decline reflects a broader trend of investor unease in the tech sector.
Shares in Nvidia (NVDA)…
