Elon Musk Denies Report Tesla Board Is Searching For His Replacement As CEO Amid Massive Stock Slide

Tesla and CEO Elon Musk have firmly denied a new Wall Street Journal report suggesting that the company’s board is seeking a new chief executive. The report claimed that the board had contacted executive search firms to find a successor due to concerns over Musk’s involvement in the Trump administration’s Department of Government Efficiency (DOGE) and Tesla’s recent financial performance.

In response, Musk labeled the article as “deliberately false” and unethical journalism. Tesla Chair Robyn Denholm also refuted the claims, stating that the board has complete confidence in Musk’s leadership and that no CEO search is underway.

The controversy arises amid Tesla’s reported 71% drop in net income for the first quarter of 2025 and a 30% decline in stock value since the beginning of the year. Critics have pointed to Musk’s political engagements and time spent on DOGE as factors contributing to investor concerns.

Musk has since announced plans to reduce his involvement with DOGE and refocus on Tesla’s operations. Despite the denials, the situation has sparked discussions about Musk’s leadership – or lack thereof – and strategic direction within the company.

The Wall Street Journal has stood by its reporting, asserting that Tesla could comment before publication but did not provide a statement.

Musk’s involvement in politics – including an endorsement in the Wisconsin state Supreme Court race – has broadly alienated Tesla’s consumer base of liberals.

As Tesla navigates these challenges, investors and industry observers remain closely monitoring the company’s leadership and future direction.

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Article by Alessio Atria