Longtime Tesla investor Ross Gerber is skeptical that even Elon Musk’s return to the helm can save the electric vehicle maker from its woes. Gerber, president of Gerber Kawasaki Wealth and Investment Management, believes Musk’s self-driving tech and robotaxi business are major concerns.
Gerber has been trimming his position in Tesla stock since the recent earnings report, which saw shares surge 20%. However, he remains unconvinced that this will be enough to reverse the company’s fortunes. Gerber thinks a big problem is Musk himself, citing declining popularity among Americans and ongoing protests against the brand.
Gerber also questions the viability of Tesla’s robotaxi initiative, citing the company’s history of delayed products and concerns over its full self-driving software. He believes the business sense of ride-hailing is tough, and that comparable networks have lower profit margins than Tesla’s automotive business.
For Gerber, a turnaround would require significant changes, including a reduced valuation for the stock and a new CEO to help salvage the brand reputation. A move by Musk to step back as CEO and become chairman instead could also be beneficial, allowing Tesla to maintain its premium valuation tied to his involvement with the company.
Gerber’s firm has been selling about 5% of its Tesla position every quarter for the past two years, with the latest sale totaling 28,481 shares. The investor is taking profits from his stake in Tesla as the company continues to struggle.
Source: https://www.businessinsider.com/tesla-q1-earnings-call-ross-gerber-reaction-tsla-robotaxi-fsd-2025-4