Dan Eve, an analyst at Wedbush Securities Bell, looks out another loud voice for Tesla Inc. , Warning that CEO Elon Musk is facing his own fork on the way, as the electric vehicle maker is preparing to report the profits of the first quarter on Tuesday.
“Musk needs to leave the government, take a big step to Doge, and return to the CEO of Tesla full -time,” Ivees wrote in a report to clients on Sunday. “Tesla is musk and musk is Tesla …. And anyone who believes that the brand that Musk has been not real is not a real thing …. spend time talking to the car buyers in the United States, Europe and Asia … you will think differently after these discussions.”
Two weeks ago, IVES reduced its target price by 43 %, citing the brand crisis created by MUSK policies and US President Donald Trump. IVES’s biggest concern was the possibility of Tesla in a violent reaction against Trump’s tariff policies in China, where the company achieved more than five revenues last year. Musk has also become a direction of Trump’s efforts to reduce the size and scope of the federal government, angered progressive consumers who represent a major customer base for the leading American electric vehicle maker.
Read more:Toroing the shot of the target arrow 43 %, citing musk and Trump
Evis wrote on Sunday: “Unfortunately, Tesla has become a political symbol worldwide from the Trump/Dog Administration.” After that, he got rid of several points: Tesla shares have been crushed since its inauguration, and the company’s first -quarter numbers were terrible, and protests continued against Tesla. Tesla faces “15 % -20 % permanent demand for Tesla buyer in the future due to the brand damage created by Musk with DOGE”, Ives said.
Tesla shares have decreased by 43 % since January 17. When the company reports its profits on Tuesday, it will face questions about sales of size for 2025, progress in independent leadership and plans for the Robotaxi network, and how the customs tariff will affect profitability. On the horizon on everything is the role of musk in the White House.
Evis said he is still optimistic about Tesla, where he maintains a classification that surpasses performance and is called one of the “most annoying technology companies in the world in the coming years.” However, he said that Tesla needs “its most important assets” – musk – again in the company full time.
“We consider this as a thorn at the time of the road: If Musk leaves the White House, there will be permanent damage to the brand, but Tesla will have the most important assets and strategic thinkers as a full -time executive president.” “If Musk chooses to stay with the White House Trump, it may change the future of Tesla/brand damage.”
This story was originally shown on Fortune.com
