(Credit: Joe Raedle / Staff / Getty Images News via Getty Images) If there's one word Wall Street doesn't like, it's "down." And Tesla is down. For the first time in recent history, the EV maker reported a yearly sales decline. Though it's only a 1% drop, it's the automaker's first since it introduced the Model S in 2012, according to Barron's. That said, Tesla actually set a quarterly delivery record in Q4, with 495,570 vehicles going out to customers globally. But that's only up 2% from the same time period in 2023. And the annual number could be more telling since it covers a longer period of time. Investors and analysts are entering whirling dervish mode, spinning up various explanations of what's going on. After years of reporting on Tesla's every move, my best guess is that the decline has less to do with Elon Musk's politics or his constant stream of questionable X posts (he's tweeted more than 100 times in the past 24 hours alone) and more to do with Tesla's stale lineup. (Credit: Tesla) If you look at the 2024 numbers, they show waning interest in Tesla's core vehicles, the Model 3 and Model Y, which are lumped together in the reporting. These are the affordable models and account for 95% of Tesla's sales. That means Tesla must sell more of them for its business to grow. But it sold 35,000 fewer Model 3s and Ys than the previous year and didn't have anything new for budget-minded EV shoppers. As wasteful as it is, the market runs on newness, and we all know what the Model 3 and Model Y look like. After years of delays, the Cybertruck was Tesla's big 2024 offering. It falls in the "Other Models" reporting bucket, which is code for "luxury" and also includes the more expensive Model X and Model S. The Cybertruck sold well, becoming the best-selling EV pickup on the market. That likely contributed to Tesla selling 16,000 more vehicles in the "Other" category, but that's not enough to supplant the Model 3 or Y. Tesla Model S and X (Credit: Bloomberg / Contributor / Bloomberg via Getty Images) A $25,000 Tesla would likely have been a big hit, but that's on the back burner as Musk focuses on robotaxis. There are rumors of a new Tesla Model Q launching next year, priced around $37,000—or below $30,000 after the federal tax credit. Tesla has not confirmed anything, however, and it has a habit of delaying launches, so there's a big Q over the Q's launch timeline. So, for most of 2024, Tesla's core lineup remained the same, pushing buyers to consider other brands, especially now that all EVs will be able to use Tesla's Supercharging network. Some great Tesla alternatives launched in 2024, such as the Honda Prologue, Chevy's $35,000 Equinox EV, and the value-packed Kia EV9 for larger families. All are selling well. Ford continues to update the best-selling Mustang Mach-E, and the 2025 Hyundai Ioniq 5 was the first non-Tesla to have a built-in NACS port for Supercharging without an adapter. In PCMag's Readers' Choice survey of the top EVs and hybrid auto brands, BMW came out on top for EVs and hybrids, while Ford won for EVs alone. Tesla was in eighth place, though it did get high marks for its charging innovations and GPS navigation. Brain Implants, Beefing on X, Politics: Is Musk Distracted? Is Musk too busy to keep a steady stream of attractive models coming? Even before he jumped into politics as co-leader of Trump's Department of Government Efficiency (DOGE), investors were worried he was overcommitted across his many companies. Recommended by Our Editors