Prominent Tesla investors have voiced their concerns over CEO Elon Musk’s recent political endeavors, after the company’s stock price plummeted nearly seven percent on Monday, losing $68 billion in market cap.
Benzinga reports that Elon Musk’s return to the political arena has sparked a wave of criticism from veteran investors, including longtime supporters, who are questioning the Tesla CEO’s priorities and the role of the company’s Board of Directors. Ross Gerber, co-founder of Gerber Kawasaki and a prominent Tesla bull, took to social media to express his dissatisfaction, calling the Tesla Board “a joke” and accusing them of being “Elon vampires sucking the blood of Tesla equity.”
Gerber’s comments come in the wake of Musk’s proposal to create the “America First” political party, which aims to challenge U.S. President Donald Trump. The investor emphasized that no one is in favor of the “Elon First” party, suggesting that Musk’s political ambitions are misaligned with the interests of Tesla shareholders.
Meanwhile, Dan Ives, a well-known Tesla bull from Wedbush Securities, shared his concerns during an interview with CNBC TV18 Prime. Ives stated that Musk’s return to politics is “the exact opposite of where you wanna see him at,” adding that the billionaire risks becoming “a foe” for both Trump and the Republican Party. This, according to Ives, is something Tesla investors would prefer to avoid, as it could potentially lead to regulatory issues and other complications.
Ives acknowledged that Musk’s political activities have put pressure on Tesla’s stock price, with investors growing increasingly worried about the potential consequences of the CEO’s actions. He also noted that the Tesla Board may need to take action, referencing their previous “shots across the bow” during the height of Musk’s involvement with the Trump administration.
In a bold statement, Ives declared, “You cannot have Musk start his political party and remain CEO of Tesla.” This sentiment underscores the growing concern among investors that Musk’s political ambitions may be incompatible with his role as the leader of the EV giant.
The criticism from Gerber and Ives follows Musk’s doubling down on his political aspirations, as tensions between the billionaire and President Trump continue to escalate.
Breitbart News reported on Monday that Tesla shares lost almost seven percent of their value based on Musk’s political ambitions, which translates into a $68 billion loss in value.
Read more at Benzinga here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
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