Tesla (TSLA) reported weaker-than-expected first quarter deliveries and production figures, triggering a selloff in the company's stock. Barclays Senior Autos Analyst Dan Levy joins Yahoo Finance Live to analyze the factors contributing to this decline. Levy highlights slowing demand in the China and US markets, as well as production units that may have been "left in transit." This situation could potentially lead to an inventory buildup, necessitating "further price cuts ahead to clear that excess inventory." From a fundamental standpoint, Levy says, "there are a couple of challenges that need to be addressed" before Tesla's stock can experience a turnaround. He highlights volume concerns, which have resulted in flat growth, and notes that an inventory buildup could lead to weaker profit margins for the company. For more expert insight and the latest market action, click here to watch this full episode of Market Domination. Editor's note: This article was written by Angel Smith