This Is My Biggest Worry About Tesla Stock

Core Concerns - Tesla's sales numbers have significantly declined globally, with profitability suffering and the Cybertruck underperforming [1] - The company's share price has dropped over 25% from its highs, indicating investor concerns [1] Future Focus - Tesla's Master Plan Part 4 largely overlooks its core automotive business, with minimal mention of electric vehicles and solar products, instead emphasizing autonomous driving, AI, and humanoid robots [2][3] - CEO Elon Musk has indicated that up to 80% of Tesla's future value could derive from its Optimus humanoid robots, suggesting a shift in focus away from electric vehicles [3] Market Position - The competitive landscape for electric vehicles has intensified, with many automakers now producing EVs, diminishing the unique appeal of Tesla's existing lineup [4] - Musk's enthusiasm appears to be directed towards futuristic technologies rather than the current EV market, raising concerns about Tesla's commitment to its core business [4][5] Investment and Growth Challenges - There is a risk of underinvestment in Tesla's EV business, which could lead to further market share loss to competitors while pursuing speculative ventures with uncertain returns [6] - A proposed compensation package aims to incentivize Musk to focus on the core business, with ambitious goals such as delivering 20 million vehicles and achieving 10 million active full self-driving subscriptions [8][9] Strategic Uncertainty - The effectiveness of the compensation package in retaining Musk's focus on the core EV business remains uncertain, with potential implications for Tesla's long-term viability if the automotive segment deteriorates [10]