Los Angeles, CA — Longtime Tesl Inc. investor and Gerber Kawasaki Wealth CEO, Ross Gerber, has made a significant move by selling approximately $60 million worth of Tesla shares. This decision comes as Gerber expresses concerns about the company’s direction and outlook, particularly regarding Tesla’s cars and robots.
In an interview with Yahoo Finance, Gerber, known for his vocal criticisms of Elon Musk, mentioned that his investment fund still holds a $50 million stake in Tesla. He specifically highlighted doubts about Tesla’s ability to achieve its sales goals amidst increasing competition in the market. Gerber’s skepticism also extends to Tesla’s robotics and self-driving technology, questioning the feasibility of the company’s ambitious objectives.
This move by Gerber reflects a broader trend of investor skepticism towards Tesla, as the stock has experienced a 15% decline this year due to various challenges. These challenges include declining sales, heightened competition in China, and legal issues surrounding Musk. Gerber further noted the oversaturation of old Teslas in the used-car market, impacting his ability to sell his own vehicle at a fair price.
Critically, Gerber criticized Musk’s emphasis on artificial intelligence and robotics, casting doubt on the demand for Tesla’s humanoid robots in the market. He questioned the level of trust consumers would have in robots created by Musk, indicating a lack of interest in such products among the general population.
Despite Gerber’s concerns, some analysts foresee a strong future for Tesla in the robotaxi market. Analysts point to advancements in Tesla’s technology as a key factor that could drive the company’s success in this sector. Additionally, Musk’s ambitious plans to develop Tesla’s humanoid robots could potentially offer unique benefits, such as the ability to store and download human memories.
Looking at Tesla’s stock performance, it closed at $209.21 on Tuesday, marking a 1.88% decrease for the day. Year to date, Tesla’s stock has seen a 15.78% decline, reflecting the challenges and uncertainties surrounding the company’s future trajectory.
In conclusion, Gerber’s decision to sell a significant portion of his Tesla shares underscores the prevailing skepticism among investors towards the company. As Tesla navigates through various challenges and strives to meet its ambitious goals, the market continues to closely monitor its progress amidst a rapidly evolving automotive and technology landscape.