Shares of Tesla are trading higher Thursday morning. CEO Elon Musk announced that his AI chatbot, Grok, will be integrated into Tesla vehicles as early as next week.

What Happened? Shares of electric vehicle pioneer Tesla (NASDAQ:TSLA) fell 7.4% in the morning session after CEO Elon Musk announced over the weekend his intention to form a new political party, the "America Party.

With today's pullback, Tesla stock is now down 13% over the last month and roughly 26% across 2025's trading. While Tesla's robotaxi service has now launched in Austin, Texas, it could take a while for the business to scale substantially. Meanwhile, the core auto business faces the risk of sustained headwinds in the near term.