Cathie Wood Reaffirms Support for Elon Musk Amid Tesla’s Challenges

Cathie Wood, founder of Ark Invest, has doubled down on her support for Elon Musk despite Tesla's ongoing stock decline and the CEO's expanding political ambitions. Tesla shares plummeted nearly 7% on Monday, erasing $68 billion in market value after Musk announced plans to form a new political party, the "America Party." Wood, a long-time Tesla bull, remains unfazed.

Speaking on Bloomberg Television, Wood pointed to Musk's recent decision to oversee Tesla's sales in the U.S. and Europe as evidence of renewed focus. "When he puts his mind on something, he usually gets the job done," she said. The MOVE comes as Tesla faces weakening demand in key markets like Europe and China, with declining deliveries and customer pushback.

Musk's political venture adds another layer of uncertainty. The billionaire entrepreneur didn't rule out endorsing a presidential candidate, further complicating Tesla's path to recovery. Investors are left weighing Wood's Optimism against Tesla's mounting challenges.