Elon Musk during a news conference with President Donald Trump on May 30, 2025, inside the Oval Office (Tom Brenner/Getty Images)

Tesla drops as Musk heads “exactly the opposite direction” from what investors want

Wedbush analyst Dan Ives says Musk’s America Party will distract the Tesla CEO and put pressure on the stock price, which is already sinking in premarket trading.

Rani Molla

7/7/25 5:51AM

Wedbush Securities analyst Dan Ives is not celebrating Elon Musk’s “America Party,” saying the move is a distraction from his job as CEO of Tesla, having recently returned to his work at the EV maker after his stint at DOGE.

“Musk diving deeper into politics and now trying to take on the Beltway establishment is exactly the opposite direction that Tesla investors/shareholders want him to take during this crucial period for the Tesla story,” Ives wrote.

Musk’s escalation of his feud with President Trump could create more government roadblocks for the EV company as it tries to transition into an autonomous vehicle outfit, hurting the stock, the Tesla bull said.

“Tesla shares will likely be under some pressure tomorrow as investors worry about the implications if Trump and Republican party view Musk more as a foe than a friend now. With the autonomous future ahead and the AI Revolution in full force Musk/Tesla do not need to keep poking the bear as Trump can create more hurdles for Musk/Tesla/SpaceX over the coming years if this political battle gets nastier heading into mid-terms in 2026. Tesla needs Musk as CEO and its biggest asset and not heading down the political route yet again... while at the same time getting on Trump’s bad side.”

Trump responded Sunday to Musk’s proposed political group by saying third parties have “never succeeded” and calling Musk a “TRAIN WRECK.” He also criticized Musk’s choice of Jared Isaacman for NASA leadership as “inappropriate,” given their friendship, Musk’s conflicting interests as head of SpaceX, and Isaacman’s political donations to Democrats.

The stock was down as much as 7% in early trading on Monday. Ives maintained his firm’s “outperform” rating and $500 price target nonetheless.

Jon Keegan6h

Report: Amodei told staff that Anthropic was targeted for lack of “dictator-style praise” for Trump

More details are leaking out from Anthropic about how CEO Dario Amodei explained the company’s dramatic schism with the Pentagon over its AI terms of use.

The Information shared details from a leaked 1,600-word memo to employees that Amodei reportedly sent on Friday after the Trump administration attacked the startup.

Per the report, Amodei told his staff that the reason the company was on the outs with the Trump administration was the fact that it had not given “dictator-style praise” to President Trump, “(while Sam has),” referring to OpenAI CEO Sam Altman.

Amodei also noted that OpenAI President Greg Brockman and his wife donated $25 million to the MAGA Inc super PAC, which likely put their competitor in the good graces of Trump and co.

Anthropic CEO Memo: Trump Disliked Company For Not Giving ‘Dictator-Style Praise’

Amodei also noted that OpenAI President Greg Brockman and his wife donated $25 million to the MAGA Inc super PAC, which likely put their competitor in the good graces of Trump and co.

Rani Molla8h

“Fortnite” returning to the Play Store worldwide after Google lowers fees and opens Android

After years of fighting with “Fortnite” maker Epic Games, Google is hitting reset on Android — cutting Play Store fees, loosening its grip on billing, and making it easier for rival app stores to set up shop on millions of devices.

The move could also dent one of Google’s lucrative businesses: Play Store commissions.

In a blog post Tuesday, Google said it will let developers use their own billing systems alongside Google Play’s, link out to external purchase pages, and distribute apps through third-party app stores that meet Google’s safety standards. The company is also lowering Play Store fees in key markets, with billing fees around 5% for developers that use Google’s system, service fees roughly 20% on new installs, and subscription fees around 10%. The changes will roll out on a staggered schedule, beginning mid-2026.

In a corresponding post, Epic said “Fortnite” would expand worldwide on Google Play. “These changes will evolve Android into a true open platform,” the company wrote. “Fortnite” returned to the Play Store in the US in December after the two companies reached a settlement following years of antitrust battles.

Google’s Changes Will Open Android Devices to Competition

Rani Molla11h

Apple debuts $599 Google Chromebook competitor

Apple’s latest product announcement this week is an opening salvo against Google’s ubiquitous Chromebook. On Wednesday, the iPhone maker unveiled the MacBook Neo, which starts at $599 — or $499 for students — the lowest price ever for a MacBook. Apple typically skews to the high end of the market.

The Neo is still more expensive than typical Chromebooks, which are hugely popular in schools, but it’s less stripped down, with a sharper display, aluminum case, and a more powerful processor than many Chromebook models.

Say hello to MacBook Neo

Rani Molla

11h

Musk says Tesla will be one of first companies to reach AGI

He also said we’d reach artificial general intelligence within two years... about two years ago.

Elon Musk Speaks During A town Hall Event In Green Bay, Wisconsin

Rani Molla15h

Bank of America upgrades Tesla, expecting it to “quickly become a leader in robotaxi services”

Tesla jumped in premarket trading after Bank of America reinstated coverage of the EV maker and upgraded it to “buy” from “hold,” with a price target of $460.

“We expect TSLA to quickly become a leader in robotaxi services, given its ability to scale more profitably than competitors,” analyst Alexander Perry wrote, noting that Tesla’s approach eschews more expensive (but more robust) technology like lidar.

BofA says Tesla’s Robotaxi service could amount to $844 billion in equity value and more than half Tesla’s valuation.

Currently, Robotaxi operates in two markets with heavy human oversight. In Austin, most of the rides involve a safety monitor sitting in the front seat, and in the Bay Area, all rides are driven by a human using supervised Full Self-Driving tech.

Alphabet subsidiary Waymo, meanwhile, is currently operating its driverless ride-hailing service in 10 US markets.