Tesla’s stock has lost over $800 billion in market value since December, with Q1 2025 vehicle deliveries falling 13% year-over-year. In Europe, sales dropped by 45% in January, even as overall EV sales rose. The Cybertruck, once a flagship model, has seen prices fall by 50% .​

 Musk’s Political Engagement and Its Fallout

Musk’s role as head of the Department of Government Efficiency (DOGE) under President Trump has drawn criticism for conflicts of interest and lack of transparency. A Senate report estimates potential legal liabilities of $2.37 billion for Musk and his companies .​

His political activities have led to protests and vandalism targeting Tesla showrooms across the U.S. .​

 Public Response and Brand Damage

Many Tesla owners are distancing themselves from the brand due to Musk’s political affiliations. Sales of anti-Musk bumper stickers have surged, and some owners express embarrassment driving their Teslas .

 Financial Impact

Tesla’s stock price is currently $285.88, reflecting investor unease. Musk’s net worth has decreased by $150 billion, now at $335 billion .​

Musk’s political involvement is eroding Tesla’s reputation, affecting both consumer perception and financial performance.