Elon DOGE Rein is Over. Can Tesla Finally be Saved?
The Elon DOGE rein could be coming to an end.
As reported in Politico, President Trump has told members of his Cabinet that Elon Musk will be stepping back from his current role as governing partner.
Initially, Musk’s role was only to last 130 days. But earlier in the year, White House officials said they were looking for a way to keep Musk on.
It’s hard to know the real reason he’s leaving, though. Has Musk become a liability for Trump? Or is Musk just looking to get back to his leadership role at Tesla (NASDAQ: TSLA). Particularly now that the company is struggling a bit.
The Elon DOGE Conundrum
To be fair, most automakers are struggling right now. Not just Tesla. Aside from China’s automotive behemoth, BYD (OTCBB: BYDDY), of course, which continues to defy the odds (and tariffs).
While the majority of global auto makers are still trying to figure out how to survive in this hostile market environment, BYD is rapidly expanding its global footprint while delivering huge revenue growth. This is particularly true in the case of its electric vehicle lineup. A market that Tesla once controlled.
Of course, Tesla is also dealing with a major PR problem. Musk’s alignment with Trump has made him an enemy of the left. A group of people that were initially some of Musk’s strongest allies. They were early adopters of EVs and championed the company as a partner in the sustainability movement. Now, they’re vandalizing Teslas, setting fire to Tesla dealerships and even threatening Tesla owners. And there’s little evidence to suggest that Musk’s new Tesla fans, who are strong Trump supporters, are actually buying Teslas to offset declines in sales.
Now Tesla did have a nice run following Trump’s win, but the shine started to come off the stock around the end of December. Since then, the stock has tumbled nearly 60%.
Shareholders are not happy, and Musk is really the only person that can right the ship. Whether or not that will happen remains to be seen. But one thing is certain: if the Elon DOGE reign is over, it’s unlikely that Musk will just let his pride and joy go gently into that good night. And considering recent broader market movements that are absolutely gutting all the major indices, there could be an opportunity very soon to buy shares of Tesla on the cheap.
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