Tesla Inc.’s stock price is under pressure, and Wedbush Securities analyst Dan Ives warns that CEO Elon Musk faces a critical decision. Ives says Musk must leave the White House, step back from his role in Dogecoin, and focus on running Tesla full-time to avoid brand damage.
Ives’ concerns stem from Musk’s involvement with President Trump’s trade policies and the potential backlash against the US government. He believes this could harm Tesla’s reputation globally, particularly among progressive consumers who are a key target market for the electric vehicle maker.
Tesla shares have fallen 43% since January 17, and investors will be watching closely as the company reports its first quarter earnings on Tuesday. The report will focus on delivery numbers, autonomous driving progress, and plans for a robotaxi network.
Despite his concerns, Ives remains bullish on Tesla’s future, maintaining an outperform rating. However, he emphasizes that Musk’s role at Tesla is crucial to the company’s success and warns of potential permanent demand destruction if Musk stays with the White House.
Source: https://fortune.com/article/tesla-bull-calls-code-red-musk-needs-to-leave-doge