Tesla’s Troubles: The Absence of Musk and Concerns over Twitter

Investors in Tesla may be feeling apprehensive these days. Sales of vehicles are being supported through significant price cuts, the highly anticipated Cybertruck is expected to be unprofitable for a year, and there is no clear timeline for the release of the company’s affordable $25,000 entry-level car. To make matters worse, according to Ross Gerber, a well-known Tesla advocate and co-founder of fund management firm GerberKawaski, CEO Elon Musk is nowhere to be found.

What’s more, Musk’s recent endeavor of owning a social media platform, X, is only causing further problems for Tesla shareholders. Gerber stated on CNBC that none of Musk’s current actions are benefitting Tesla; instead, they seem to revolve around Twitter and personal interests. “What he’s really doing is destroying everything he’s built, and that is the super frustrating thing as a shareholder,” Gerber expressed.

While Musk is expected to attend the upcoming Cybertruck delivery event on November 30, which marks the start of the pickup model’s sales, he was unable to attend a crucial meeting with an official from Narendra Modi’s government to discuss a potential major investment in India due to an undisclosed health issue. This investment could significantly drive volume growth for the company.

Gerber’s patience has also been tested by Musk’s recent political views. Musk has endorsed an antisemitic post on X, a move that has raised concerns among Jewish clients and investors. Gary Black, a prominent institutional investor and co-founder of Future Fund, has urged Musk to halt his antisemitic remarks to prevent any brand damage to Tesla.

Musk has always been open about his political leanings. Earlier this year, he visited the U.S.-Mexico border to draw attention to issues related to mass migration, and he has made comparisons between Europe’s immigration challenges and an invasion. He even took his son to a meeting with the prime minister of Hungary, a controversial leader known for discouraging racial mixing. Musk has previously been associated with anti-Semitic arguments, blaming the Anti-Defamation League for an increase in anti-Semitism and likening Jewish financier George Soros to a supervillain who despises humanity and desires the destruction of Western civilization.

Gerber has decided to trade in his Tesla for a model produced by the company’s competitor, Rivian, next year. However, he does not see the need for Musk to resign as CEO of Tesla since he believes that Musk has already stepped aside from his responsibilities as the company’s chief executive.

Source: Musk is ‘destroying everything he built’: Tesla CEO blasted by veteran investors