Musk has been able to play off Tesla's struggles for over a year now because the stock has been astonishingly resilient. Neither political gaffe nor falling deliveries has knocked Tesla off its upward trajectory, but Monday's selloff may be a sign of a changing sentiment.

When Tesla chief executive Elon Musk asked his followers on the social platform X last week whether it was time to create a new political party, 80 percent answered “yes.” Wall Street seems to disagree.