July 8 - Tesla's Biggest Bull, Wedbush Securities, is calling on the company's board to establish a formal oversight structure for CEO Elon Musk, citing his influence over the company's future in AI and robotics.
Analyst Dan Ives said Musk remains critical to Tesla's long-term vision and should remain CEO at least through 2030. He proposed a new incentive-based compensation package that would increase Musk's voting power to about 25%, with strict terms on time commitment and board oversight.
The proposed plan would involve a special board committee drafting a shareholder proxy outlining the terms of Musk's continued leadership. Oversight would focus on ensuring his political activities do not interfere with operational responsibilities.
Wedbush reaffirmed its Outperform rating on Tesla, keeping its $500 price target. Ives said Tesla, along with Nvidia (NVDA), stands out as a top "physical AI" company. He estimates Tesla's autonomous business opportunity alone could be worth $1 trillion in the long run.
The board's next move could shape investor confidence in Tesla's ability to balance leadership stability and long-term innovation.
