How Tesla's Board Should Rein In Elon Musk, According To Prominent Analyst

Core Viewpoint - Wall Street is increasingly frustrated with Tesla CEO Elon Musk's non-Tesla activities, prompting calls for the company's board to impose restrictions on his political ambitions and actions [1][2]. Group 1: Recommendations for Tesla's Board - Wedbush analyst Dan Ives, a prominent Tesla stock bull, suggests a three-pronged approach for the board to manage Musk's involvement in politics and ensure he dedicates adequate time to Tesla [2][3]. - The recommendations include approving a new compensation package that would double Musk's voting rights to 25% while establishing a requirement for the amount of time he must spend at the company [3][4]. - Ives proposes the creation of a special oversight committee to monitor Musk's political activities and enforce rules that could impact his compensation [4]. Group 2: Stock Performance and Market Reaction - Tesla shares experienced a slight rebound of 1% in premarket trading, but have declined over 10% since Musk's public disputes with President Trump [5]. - The stock fell by 6% on Monday following Musk's announcement of a new political party, resulting in a $12 billion decrease in his net worth [5].