Tesla (TSLA) and BYD (BYDDF), the world’s top EV makers, are on diverging paths—yet their stocks are both surging. While BYD dominates in sales and profitability, Tesla’s earnings are slumping. Investors, however, remain bullish on both for different reasons.
BYD Pulls Ahead in Sales & Profit
BYD has left Tesla behind, selling over 1 million EVs in Q1 2025—up 60% year-over-year (YoY)—while Tesla’s deliveries fell 13%. BYD now leads in pure battery-electric (BEV) sales, with net income doubling to $1.26 billion, surpassing Tesla for the first time.
Key factors driving BYD’s success:
-Ultra-fast charging– New 1,000 kW tech (twice Tesla’s speed) could eliminate range anxiety.
- Global expansion– Factories in Thailand, Brazil, and Hungary will help bypass EU tariffs.
-Affordable tech– Level 2 driver-assist systems now come standard even on budget models.
Tesla’s Struggles—But Robotaxi Hopes Lift Stock
Tesla’s Q1 earnings plunged 40% YoY, with revenue down 9%. The Cybertruck has been a disappointment, and refreshed Model Y/3 models failed to boost demand.
Yet, Tesla’s stock jumped 18% in late April on:
- Robotaxi plans– Musk announced paid autonomous rides in Austin by June.
-FSD optimism– Despite years of delays, investors still bet on self-driving breakthroughs.
-Federal policy boost – A new U.S. framework for autonomous vehicles added momentum.
Stock Performance: Short-Term vs. Long-Term?
-BYD (Up 53% in 2025)– Strong fundamentals, global growth, and tech leadership keep investors confident.
-Tesla (Down 30% in 2025, but rebounding)** – Hopes for FSD and a cheap EV are offsetting weak sales.
Who Wins the Long Game?
Tesla’s future depends on robotaxis and a $25,000 EV—but BYD is already profitable at that price point. With better margins, faster innovation, and a clear global strategy, BYD looks like the EV leader Tesla once aimed to be.
For now, both stocks are rising—but for very different reasons. Tesla bets on futuristic tech, while BYD delivers today’s results. Investors must decide which vision they trust more.
