According to the sources, Elon Musk will have a tough challenge to handle. The question that has been raised for him is that will he be able to handle the pressure of running both Tesla as well SpaceX parallel. It will be a tough job for Elon Musk to handle both these companies at the same pace. Recently investors are quite worried about the functioning of the companies. Particularly shareholders of the Tesla group are quite anxious over the company’s financial performance. In the current financial year, the primary concern for them has been the production which has seriously raised an eyebrow of many investors. Recently the company has been questioned regarding its efficiency as far as its autopilot features are concerned. However, short sellers are still quite interested in buying stocks of this company. This data is visible from the trend which shows that although there has been a slide of all most 16% valuation in stocks for the past six months, the stock valuation is still on the rise.
Investors are worried about the fact the main reason behind the rising value of the Tesla Stock is the founder man himself, i.e Elon Musk. So if any other activity diverts himself from his founded company, Tesla, then obviously it will bring down the shareholder’s value to a great extent.
Main Reason for concern
In recent times SpaceX has accumulated funds worth of $500 million. The main concern is that Mr. Musk is the CEO and at the same time he is the chief designer of the SpaceX. The venture capital company for SpaceX had valued the company at $20.8 billion In November. However, the valuation of the company currently stands out at $25 billion. This enhancement in valuation shows that SpaceX has been rising in its popularity and there are all reasons for Musk to be much more involved in this company, thereby letting Tesla being ignored.
Tesla has even raised the similar concern in its Annual report, where it has mentioned that Elon Musk is the CEO of Tesla as well the chairman of the Board. Although he devotes considerable amount in developing the business of Tesla, he is also spending a significant portion of his valuable time for SpaceX as well.
So investors of this giant car maker are worried about the future of this company. Signs of worries are apparent from the fact that the stocks of this company have come down by 2.3% recently.