The Financial Post reports in its Friday edition that exactly three years ago on Dec. 21, Tesla finally started trading on the S&P 500 index. An Associated Press dispatch to the Post says that since then, the stock lags even underperforming index exchange-traded funds. Tesla shares, now $252.54 (U.S.), closed at $232 (U.S.) on Dec. 18, 2020, the session before the company joined the S&P 500. Tesla has its challenges, and things could get even more challenging for Tesla as demand for electric vehicles cools. The question now is how much room there is left in a market valuation that already towers above other carmakers. Wall Street's current consensus seems to be: maybe none. Analysts' average price target on Tesla reflects an expectation for the stock to fall about 2.4 per cent over the next 12 months. That is not surprising, given that demand for EVs is projected to fade in 2024, before picking up again. As auto companies including Tesla, EV suppliers and even car-rental companies have said in recent months, it appears the pool of first adopters for the technology has been tapped out, and a mix of questions around the economy, pricey vehicles and high interest rates are keeping mainstream buyers away.