Overpromising by Tesla Inc. Chief Executive Elon Musk does not usually faze his die-hard fans and investors.

But that ended this week, when a trifecta of bad news began to hit the stock. Tesla TSLA, +4.42% shares wove in and out of bear territory Thursday, at one point during the trading day falling 20% off its record high of $383.45 reached on June 23.

It started with Musk’s update late Sunday that the number of cars Tesla delivered in the second quarter was below Wall Street’s estimates, due to a severe battery production shortage. Then Thursday, Tesla was not included in the latest “Top Safety Pick” list of the safest cars. Combined with reports of looming new electric-car rivals, including Volvo, the developments culminated in a big hit to Tesla’s market cap and the loss of its status as the most valuable U.S. auto maker. Tesla has lost about $7.18 billion in market value in the past two trading sessions.

“It’s an incredible company with a genius CEO who is revolutionizing the auto industry and a few other industries. It is changing the way people do business in the industry. But people were paying a lot in advance,” said Efraim Levy, an analyst at CFRA Research, who has had a sell on Tesla based on valuation since February. He noted that his estimates and the consensus on Wall Street have been declining. “Yet value has been going up,” he said.

Tesla’s July 2 surprise wasn’t the first time the company and Musk squeezed in bad news when some investors might be otherwise distracted. It also was not the first time Musk has made big promises and had to walk them back. Last year, Musk predicted production of 100,000 to possibly 200,000 Model 3 units in the second half of 2017, one of its most anticipated models ever, a number it later scaled back to producing about 5,000 a week, “at some point in 2017.”

On Sunday, Musk countered the news of the slightly lower delivery number with good news about the Model 3. Tesla said that its first certified Model 3 would be completed this week and about 30 cars would be handed over to customers at its Fremont, Calif., factory on July 28.

Can Tesla Live Up to Its Hype?

The Model 3, Tesla’s lowest priced vehicle, is also expected to be its biggest volume seller, but that will depend on its manufacturing capabilities. Goldman Sachs analyst David Tamberrino, who reiterated a sell rating on Wednesday, wrote that the Model 3 will initially lower its profit margins. Tamberrino lowered his price target for the stock to $180 from $190. He believes that demand for Tesla’s other higher-end vehicles, the Model S and the Model X, are “showing plateauing demand.”

“When you are priced to perfection, you have to deliver,” said Levy, who currently has a target price of $255. “I am willing to give them some flexibility on the time table. But [the stock] is vulnerable to more hiccups.”

The big question is whether investors will be so forgiving in the future if Tesla hits more speed bumps.