Tesla has been in the news quite a bit recently due to the antics of Chief Executive Officer Elon Musk. Like a lot of CEOs, he seeks fame and popularity and has a huge ego. Ego can be good because it pushes them to innovate and take on risky business ventures. However, it can also lead them to say and do some pretty dumb things.Paul Mampilly says that other business leaders with large egos include Jack Ma of Alibaba, Richard Branson of Virgin Group, and Steve Jobs who had led Apple for years before his death. The fame can be good and bad and it won’t be every time that investors agree with a CEO’s business strategy or direction.
He reminds people that Steve Jobs was once bounced from Apple because its board of directors and investors didn’t like the vision he had for this company.Elon Musk has made some pretty bad statements in 2018, usually on Twitter. The financial media follows his Twitter account and every time he has another misstep or makes a bizarre tweet they are there to report on it, Paul Mampilly says. The question now is whether he is still fit to lead Tesla and whether investors should own that company’s stock or sell it.Paul Mampilly, who rights financial newsletters for Banyan Hill Publishing, says that Elon Musk has made a number of very poor PR decisions.
This included calling one of the rescue divers in Thailand a “pedo” for which he is now being sued. He was on Joe Rogan’s show where he smoked pot on camera. He said that he was coming to Flint, Michigan’s rescue and then failed to act.Tesla stock has been doing well and the company does seem to be in good shape despite Elon Musk’s antics. Paul Mampilly says that investing in Tesla is certainly not without risks but he sees their stock as having great growth potential. There aren’t really any reasons to believe that they won’t have decent production numbers and their cars have a lot of consumer interest in them.