Michael Burry takes aim at Tesla's valuation and Musk's pay package

Core Viewpoint - Michael Bur criticizes Tesla's valuation, claiming it is "ridiculously overvalued" and highlights concerns over Elon Musk's compensation package diluting stock value [3][4] Company Valuation - Bur argues that Tesla's market cap has been overvalued for an extended period, suggesting that the company's stock compensation structure is problematic [3][4] - The critique extends to the broader tech sector, with Bur taking short positions on high-profile AI stocks, indicating a belief that tech valuations are inflated [5] Competitive Landscape - Tesla is reportedly losing market share in key European markets, with significant sales declines noted in November and a 50% drop in sales across Europe in October [9][10] - The decline in sales is attributed to both increased competition and a potential decrease in demand, compounded by Musk's diminishing reputation [10][11] Future Outlook - There is speculation that advancements in Full Self-Driving (FSD) and AI technologies could provide a competitive edge for Tesla, potentially offsetting challenges from competitors [11] - The market sentiment around Tesla remains polarized, with strong opinions from both bullish and bearish investors [12]