Core Viewpoint - Elon Musk's ongoing feud with President Donald Trump is seen as a significant challenge for Tesla, particularly as the company faces declining vehicle deliveries and a high valuation [1][4]. Group 1: Stock Performance and Valuation - Tesla shares have decreased by 22% year-to-date, with speculation that the stock could fall by as much as 50% if the market revalues the company [2]. - The stock was trading around $316, and the company's price-to-earnings ratio is approximately 150 times earnings, significantly higher than other major tech firms like Nvidia and Google [2][10]. Group 2: Vehicle Deliveries and Sales - Tesla reported a 14% year-over-year drop in vehicle deliveries for the second quarter [4]. - Sales in the European Union have plummeted by 45% from January to May this year [4]. Group 3: Market Dynamics - Recent price increases on Tesla vehicles are believed to have negatively impacted sales, contributing to a severe supply-demand imbalance [9][10]. - The company is facing challenges in selling its cars, with the CEO of Gerber-Kawasaki Wealth Management stating that higher prices lead to reduced demand [10]. Group 4: Investor Sentiment - Gerber-Kawasaki Wealth Management has completely sold its position in Tesla stock, although the firm still manages around $60 million in Tesla investments for clients [11]. - The firm has been gradually reducing its Tesla holdings for over two years, indicating a lack of confidence in the company's current valuation [11].