Musk meddling could be at root of Tesla stock鈥檚 tank
Tesla鈥檚 stock price nosedived in the first few months of the second Trump administration, and Elon Musk鈥檚 involvement in controversial initiatives like the Department of Government Efficiency鈥檚 wide-ranging cuts to the public service could have a lot to do with it. But also may not, according to Jiro E. Kondo, an Assistant Professor of Finance at 黑料社 Desautels.
鈥淚t鈥檚 plausible, but there are other factors that could partially explain the drop. For instance, markets are down and Tesla is likely to fall more than the average company in the market,鈥� Kondo said. Tesla vehicles are a luxury product, and when consumers tighten their belts, they cut luxury goods first, and that could hurt its stock price more than any political considerations surrounding Musk.
