- Tesla’s (TSLA) stock faces mounting pressure as CFO Vaibhav Taneja sold $718,000 in shares, totaling $8 million over 90 days, bypassing a 10b5-1 plan, while Elon’s younger brother, Kimbal Musk, cashed out $27.6 million at $368 per share, exacerbating a 40% drop since January that erased half a trillion dollars in market cap.
- A 76% sales drop in Germany last month, tied to a production halt for a Model Y refresh driving two-thirds of Tesla’s business, compounds insider sales, undermining confidence as the stock endures a record seven-week losing streak.
- Despite Elon Musk’s DOGE involvement, Wedbush’s Dan Ives remains bullish with a $550 target, adding Tesla to his “Best Ideas” list, betting on a Trump-led deregulatory boost for its autonomous tech vision.
Tesla’s (TSLA) stock, already reeling from a 40% drop since January that wiped out half a trillion dollars in market cap, faces fresh strain as finance chief Vaibhav Taneja sold $718,000 in shares on Thursday, bringing his 90-day total to just over $8 million, according to an SEC filing reported by Fortune. Unlike chair Robyn Denholm’s larger sale this week, Taneja’s transaction bypassed a 10b5-1 trading plan, meaning he actively chose to cash out at the current price—a move that stokes investor unease as the company navigates its longest-ever seven-week losing streak. The sell-off follows a 76% sales plunge in Germany last month, tied to a production halt for retooling its plant ahead of a global Model Y refresh, a model that drives nearly two-thirds of Tesla’s business.
Fortune notes that insider sales are amplifying Tesla’s woes, with Kimbal Musk, Elon’s younger brother and a board director, unloading $27.6 million in shares on February 6 at an average price of $368—perfectly timing a peak before a nearly 30% slide, constrained by SEC rules allowing sales only after the January 29 quarterly filing. This pattern of executives tapping the stock – especially as it relinquishes gains from a post-Election Day surge that saw it double from $251 to $488 – has frustrated retail shareholders, who once cheered a Trump-driven rally fueled by hopes of deregulation and legal support for autonomous tech. Wedbush analyst Dan Ives, maintaining a $550 target and adding Tesla to his “Best Ideas” list on Thursday, still sees a Trump White House as a boon, predicting a “deregulatory environment” will bolster Tesla’s autonomous vision despite the current “gut check moment” for bulls.
Elon Musk’s involvement with DOGE (the Department of Government Efficiency) has perhaps split his focus, as his roles across multiple companies and his current commitment to working alongside the president on DOGE are increasingly seen as distractions. Tesla is countering these challenges with a strategic pivot, refreshing the Model Y and retooling its German plant, yet insider sales at this critical juncture suggest a lack of confidence among key figures. Wedbush analyst Dan Ives, as quoted by Fortune, believes the stock’s sell-off may have hit its floor, pinning hopes on Tesla’s long-term technological strengths—though the stock’s slide back to pre-election levels reveals a market wrestling with Musk’s divided attention and a company at a turning point.
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