Tesla (TSLA) stock is in focus after CEO Elon Musk said he’s running the company “with great difficulty” as he balances it with working for US President Donald Trump’s second administration.
CFRA analyst Garrett Nelson joins Catalysts with Madison Mills and Slatestone Wealth chief market strategist Kenny Polcari, who also hosts Yahoo Finance’s Trader Talk, to take a closer look at Tesla.
Nelson says, “There’s going to be a hit with Tesla’s sales volume” due to negative sentiment around Musk’s politics.
“Given the volatility we’ve seen [in Tesla] shares over the years, [with] eight declines of 40% or more peak to trough, we think this is another one of these scenarios,” the analyst says, adding, “We’d be buyers at these levels because we still believe the long term story is intact.”
Nelson tells Yahoo Finance, “One thing that we do think might make sense is for Tesla to elevate another senior level of management, to kind of make sure that the company is on track with their near and intermediate-term goals,” as Musk is in Washington with Trump.
‘It’s such a critical point in the company’s history right now that the company just can’t afford to fumble the ball,” he adds.
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This post was written by Naomi Buchanan.
