More than eight out of every 10 respondents to a Morgan Stanley survey believe\u00a0Tesla\u00a0CEO\u00a0Elon Musk\u2019s controversial political activities are hurting his business.<\/p>\n
In total, 85% of the 245 participants polled by the firm believe Musk\u2019s foray into politics has either had a \u201cnegative\u201d or \u201cextremely negative\u201d impact on business fundamentals. The majority of respondents also expect Tesla deliveries to fall this year, according to the survey.<\/p>\n
While a small sampling, these results offer the latest sign of mounting frustration with the billionaire entrepreneur as he\u2019s become a rising figure in international and American politics. It also comes at a pivotal point for Tesla\u2019s stock, with shares plunging nearly 40% this year.<\/p>\n
When asked about Musk\u2019s efforts with U.S. government efficiency and other political activities, 45% of respondents said these actions had a \u201cnegative\u201d effect on the company. Another 40% said they were having an \u201cextremely negative\u201d impact.<\/p>\n
On the other hand, 3% said they were \u201cpositive\u201d for the business. Meanwhile, 12% called them \u201cinsignificant.\u201d<\/p>\n
To be sure, Morgan Stanley analyst Adam Jonas reported that his survey respondents are drawn from his email distribution list and should not be taken as a random representative sample. He also noted that the respondents are not necessarily owners of Tesla stock. The survey was taken over a 17-hour period, starting on Tuesday afternoon.<\/p>\n
Jonas also asked about expectations for the company\u2019s performance. In a separate question, 59% said they anticipated Tesla would deliver fewer cars to customers in 2025 compared with the prior year. What\u2019s more, 21% of total respondents said they expected a decline of more than 10%. That comes as some analysts have raised alarm that recent\u00a0reports of vandalism\u00a0could\u00a0spook potential customers.<\/p>\n
Just 19% of responders said they forecasted deliveries to rise in 2025, while another 23% said they would be flat between the two years.<\/p>\n
Musk\u2019s political profile has grown after his public support of President\u00a0Donald Trump\u00a0in the runup up to last year\u2019s election and his subsequent role leading the Department of Government Efficiency, or DOGE. The Tesla executive\u2019s efforts to slash the federal government\u2019s spending and workforce has drawn the ire of critics who see his team as working too quickly and haphazardly.<\/p>\n
Musk\u00a0acknowledged\u00a0in an interview with Fox Business on Monday that his high-profile role in Trump\u2019s administration meant he was running his businesses, which also include X and SpaceX, \u201cwith great difficulty.\u201d That day, Tesla shares tumbled more than 15% for their\u00a0worst session since 2020.<\/p>\n
Despite the recent nosedive, 45% of respondents said they anticipate Tesla shares will be at least 11% higher by the end of the calendar year. Around 36% expect the stock to tumble another 11% or further by year-end, while 19% see the stock staying within 10% of its price around $220.<\/p>\n
After a New York Times\u00a0report\u00a0last week unearthed criticisms of Musk\u2019s team from members of Trump\u2019s cabinet, the president offered a vote of confidence on Tuesday. Trump evaluated five Tesla vehicles\u00a0parked at the White House\u00a0after the president\u00a0said\u00a0on social media that he would buy one as a symbol of support.<\/p>\n
Trump also said he would declare violence at Tesla dealerships to be acts of domestic terrorism.<\/p>\n<\/p>\n
More than eight out of every 10 respondents to a Morgan Stanley survey believe\u00a0Tesla\u00a0CEO\u00a0Elon Musk\u2019s controversial political activities are hurting his business. In total, 85% of the 245 participants polled by the firm believe Musk\u2019s foray into politics has either had a \u201cnegative\u201d or \u201cextremely negative\u201d impact on business fundamentals. The majority of respondents also […]<\/p>\n","protected":false},"author":0,"featured_media":15872,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-15871","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/15871","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/comments?post=15871"}],"version-history":[{"count":0,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/15871\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media\/15872"}],"wp:attachment":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media?parent=15871"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/categories?post=15871"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/tags?post=15871"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}