Elon Musk is now considered the second biggest threat to Tesla. In the latest Markets Live Pulse survey, investors claimed that Tesla is at risk because of how the billionaire makes decisions.
Elon Musk's Decision-Making is Tesla's 2nd Risk, Investors Warn
According to Fortune, the MLIV Pulse survey involved over 600 investors. Around 54% of them believe that the industry competition is putting Tesla's business at risk.
The remaining 26% said that Elon Musk's decisions and behaviors are the main concern for Tesla shareholders.
Matthew Tuttle, the CEO of Tuttle Capital Management, warned that Elon Musk is a very unpredictable individual.
This very reason is what makes the billionaire one of the top risks for Tesla, as explained by Matthew.
Because Tesla's revenue margins are shrinking, 67% of the investors who answered the MLIV Pulse survey said that Elon should start focusing more on his EV company.
"Competition is the most important risk factor for Tesla longer term, and even mediocre execution for the crop of around 100 new EVs coming to market this year will put pressure on Tesla," warned Roth Capital Partners analyst Craig Irwin.
He added that Tesla is definitely leading the EV market, for now. But, the automaker needs to understand how its revenue margins are shrinking.
Is Elon Musk Distracted by Twitter?
Twitter is not really in a good condition as of press time. Because of this, numerous analysts believe that the billionaire is distracted by the social media platform.
Recently, CNBC reported that Musk announced Twitter's negative cash flow. The billionaire said that the platform is in heavy debt.
Elon added that these issues are happening because around 50% of Twitter's ad revenue dropped. This is not surprising considering that many advertising companies already pulled out their funds from Twitter.
Another problem that Elon Musk is facing is the existence of Threads. Ever since Meta launched its new platform to compete with Twitter, many advertisers said that they plan to advertise on Threads.
Although Twitter's revenue still hasn't recovered, Elon still needs to pay attention to Tesla and the EV market competition.
