Elon Musk is putting his investors' faith to the test: Morning Brief

Published On Feb 28, 2025, 6:00 AM

Elon Musk is testing the faith of Tesla investors, as the company's perceived value increasingly stems from future promises rather than current car sales. Despite selling fewer vehicles, investors still hold hope for innovations, including robotaxis and AI applications. Tesla's stock trades at a high price-to-earnings ratio of 139, indicating that most of its current valuation is based on speculative future profits. However, recent sales declines and growing criticism could impact investor sentiment.