Elon Musk's 'America Party' announcement causes Tesla stock to drop 8%.

Tesla’s stock dropped 8% after Elon Musk announced the ‘America Party,’ sparking concerns about his focus on the company. The market cap could decrease by $80 billion, with short sellers potentially gaining $1.4 billion. Musk’s political activities may divert attention from Tesla’s core business, impacting delivery targets and investor trust. The board is under pressure to address his competing priorities.

Investors debate Tesla’s future as Musk’s political ambitions and declining sales raise concerns. The board may need to set boundaries on Musk’s outside ventures to prevent further market value erosion. With Musk’s significant influence, Tesla’s growth prospects are tied to his unpredictable actions. The company’s stock has dropped 35% this year, making it the worst performer among top stocks.

Read more at Nasdaq: Musk’s ‘America Party’ Sparks Board Oversight Debate at Tesla (TSLA)