Trump's USA Musk's new party

Analyst: "Tesla's Board Needs to Get Involved"

Tesla shares fell on Monday after Elon Musk announced he was starting a new political party, Bloomberg and Reuters reported.

Today's initial decline of 7.4 percent corresponds to a loss of $ 16.7 billion in Musk's personal wealth and is the biggest stock loss since his public budget spat with Donald Trump earlier in June, Bloomberg notes. The stock closed Monday down 6.8 percent.

Wedbush analyst Dan Ives, who is a Tesla enthusiast, is starting to get frustrated.

- The board needs to get involved, he tells Bloomberg.

Camelthorn manager Shawn Campbell agrees with the complaint.

- I and all other Tesla owners would prefer to avoid politics - the sooner this distraction disappears and Tesla can return to its core business, the better, he tells Reuters.

The market rejects Musk's new party - Tesla's stock plummets

Tesla's stock is falling in pre-market trading on Wall Street after Elon Musk announced that he is starting a new political party called the "America Party", reports CNBC.

By 10:40 the stock had plummeted over 7 percent.

- Musk's deepening involvement in politics and trying to challenge the establishment in Washington is the exact opposite of the direction that Tesla's investors and shareholders want the company to take. Especially at such a crucial stage for Tesla's future, writes Dan Ives, head of research at Wedbush Securities, in an analysis.

He believes that Musk's core supporters support him through thick and thin, but that investors are starting to get tired of Musk's increasingly political path.

- There is a feeling of exhaustion, he writes.

Tech manager: Musk's party would be a disaster for Tesla

Elon Musk is probably not serious about his political ambitions. This is what tech manager Inge Heydorn at Chelverton tells DI.

He points out that it would require "an enormous amount of power", and that Musk should keep a low profile instead of arguing with Donald Trump.

If Musk were to pursue his political plans, however, it would be bad news for Tesla, he says.

- It would be a disaster if he didn't have time to run Tesla, he says.