Morgan Stanley believes that investors need to view the Tesla (TSLA.US) Annual Shareholders' Meeting to be held on June 13 as an event that may cause some additional drama.
The Zhitong Finance App learned that Morgan Stanley believes that investors need to view the Tesla (TSLA.US) Annual Shareholders' Meeting to be held on June 13 as an event that may cause some additional drama.
Analyst Adam Jonas (Adam Jonas) cautioned that Tesla is the only company Musk has no control over (and minority voting rights). Additionally, Musk also expressed his concerns and unease about pushing Tesla further into the field of artificial intelligence, because if something goes wrong with this powerful technology, he will lose about 25% of Tesla's voting rights, which will increase the risk of shareholder votes involving Musk's 2018 compensation plan.
“In our view, Tesla's artificial intelligence potential will still be limited unless voting control issues are addressed. This is a huge problem for Tesla investors for a number of reasons, including the inability to quantify the impact.”
Jonas reiterated that as long as the issue of blocking minority ownership remains unresolved, Morgan Stanley expects Tesla's stock price to be dominated by more sobering developments in the global electric vehicle industry rather than by artificial intelligence premiums.
As of February 2024, when counting the 2018 bonus options, Musk owned 20.5% of Tesla's shares. Excluding options, Musk owns about 13% of Tesla's shares. Musk called Tesla an artificial intelligence/robotics and sustainable energy company. The question investors face is: What happens if Musk isn't satisfied with his voting control after the shareholders' meeting?
Musk said the company will spend more than $500 million to buy new electric vehicle chargers to expand its network of supercharging stations. Earlier, it was reported that Tesla is considering shutting down the Supercharger electric vehicle charging business unit. Musk clarified: “Tesla is still planning to expand the supercharging station network, only at new locations it is slower and more focused on 100% uptime and expansion of existing locations.”