A Wall Street Journal report claimed that the Tesla Board of Directors had considered replacing Musk about a month ago. Tesla chair Robyn Denholm vigorously denied the report, but where there's smoke, there's fire. Intriguingly, the market reacted negatively to the news, with Tesla shares rebounding shortly after the report was denied.
Many Tesla fans predicted that Tesla shares would again push through the $400 threshold by April 30. Instead, the last day of the month brought a shocking WSJ story about the Tesla Board of Directors' plans to look for Musk's successor, causing Tesla shares to crash briefly. The search reportedly started about a month ago when undisclosed board members reached out to several executive search firms "to work on a formal process for finding Tesla's next chief executive."
At the time, Tesla stock was sinking, and anti-Tesla sentiment was soaring, causing unrest among Tesla investors, who were irritated about Elon Musk's focus on his role at DOGE. Musk was most of the time at the White House and absent from Tesla. Vehicle deliveries plummeted, and profits deteriorated rapidly, while Tesla was running on inertia, with no clear strategy or direction.
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