Tesla Falls the Most Since July After Lock-Up Ends

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Tesla Motors Inc., the unprofitable electric-car maker, fell the most since July after insiders were allowed to sell shares in the company.

Tesla shares fell $4.54, or 15 percent, to $25.55 at the close of Nasdaq Stock Market trading for the steepest drop since July 6. Capstone Investments Inc. initiated coverage Dec. 23 with a “sell” rating on the expectation that plug-ins and other hybrids will continue to outsell pure electric cars such as Tesla’s.