Does Tesla’s Future Hinge On The 2024 Annual Stockholder Meeting?

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Musk is a controversial CEO. His baggage has made the company's stock price stagnant and Tesla's future uncertain.

Tesla’s real world challenges have already had an impact on its success. The question is, How much will current events, such as Thursday’s 2024 Annual Stockholder Meeting, affect Tesla’s future stability and viability?at Tesla’s Austin headquarters. The company expects to accommodate only a limited number of stockholders in-person, and these onsite attendees are surely in for a spectacle.

Then there is the constant SEC monitoring. New lawsuits against Tesla — especially regarding “full self-driving” — seem to spring up every week. Accusations of Musk’s insider trading are supported by board insularity and relative nepotism. His politics have gone wild, way afield of theWithout an inexpensive model for the masses, a wider product line, or mid-generation refreshes, Tesla’s future seems mediocre.

ARK estimates that nearly 90% of Tesla’s enterprise value and earnings will be attributed to the robotaxi business in 2029. Meanwhile, electric vehicles could approximate a quarter of total sales and ~10% of Tesla’s earnings potential, as ARK believes the robotaxi business will have much higher margins. While unlikely, ARK allows that, if Tesla were to eliminate the possibility of a robotaxi network from their model, their price target would be ~$350.

Source: News Formal (newsformal.com)

 

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