Elon Musk tried to calm Tesla employees during a company-wide meeting on Thursday, encouraging them to stay positive about the future of the company, even as Tesla’s stock price continues to drop rapidly.
“There are times when there are rocky moments,” Musk told employees. “But what I’m here to tell you is that the future is incredibly bright and exciting, and we’re going to do things that no one has even dreamed of.”
During the meeting, which was streamed on X, Musk urged employees not to sell their stock, despite a 50% drop in Tesla’s share price. The company has faced criticism related to Musk’s involvement with former President Donald Trump’s administration. Since Trump appointed Musk to lead the so-called “department of government efficiency” (Doge), the CEO has been involved in controversial decisions, like dismantling federal agencies and canceling contracts related to diversity, equity, and inclusion. Musk’s actions have led to protests, including his estranged daughter calling one of his gestures at a rally “definitely a nazi salute.”
As a result, some Tesla owners are trying to sell their vehicles, and the company’s stock has fallen sharply. Some Teslas have even been vandalized, with a few being set on fire. Earlier this week, the Vancouver International Auto Show announced that it would no longer include Tesla in its upcoming showcase due to security concerns caused by the protests.
“If you read the news, it feels like Armageddon,” Musk said. “I understand if you don’t want to buy our product, but you don’t have to burn it down. That’s a bit unreasonable.”
Tesla also faced issues with its new Cybertruck model, issuing a recall for 46,000 vehicles. The recall was due to a problem with a stainless-steel trim panel that could detach and create a road hazard. Tesla will replace the part at no charge.
Even some of Tesla’s biggest financial supporters are growing frustrated with Musk’s political actions and the company’s performance. Dan Ives, a managing director at Wedbush, a financial firm, said, “The brand damage started off as limited … but now has spread globally into what we would call a brand tornado crisis moment for Musk and Tesla.”
Musk’s plea to employees to hold on to their stock is part of his ongoing efforts to stabilize the company. Earlier this month, Musk joined Trump at the White House to promote Tesla’s vehicles, with Trump even announcing he planned to buy one.
At the all-hands meeting, Musk repeated his long-standing claim that Tesla vehicles will one day be able to drive themselves. He had previously made this statement at the October unveiling of the Tesla Cybercab, a proposed self-driving taxi.
“What I’m saying is hang on to your stock,” Musk said.
