Tesla Investors Call For Shareholder Meeting Amid Elon Musk–Trump Feud, Declining Sales: Report

Major investors in Tesla Inc. (NASDAQ:TSLA) have urged the company's Board of Directors to hold the annual shareholders meeting as tensions rise between CEO Elon Musk and President Donald Trump.

Check out the current price of TSLA stock here.

What Happened: A group of 27 major Tesla investors, including U.S. state treasurers, pension funds and governance experts, have asked the company to set a date for the meeting in a letter, Reuters reported on Wednesday.

The group expressed concerns about Musk's political ambitions, the feud with Trump, as well as declining sales figures, in the letter. 

Under Texas law, the investors can move a court to require the Board to hold the meeting if the company hasn't done so in 13 months, the report suggests.

The EV giant had said in April that it would be filing its annual proxy statement, which is a statement from the company addressed to shareholders ahead of the investor meeting, later than expected, as the BoD hadn't decided on a date for the meeting, the report said.

Why It Matters: The news comes as Tesla sales have been dwindling for some time, with the number of units sold reaching double-digit drops in multiple markets.

The growing tensions between Musk and Trump, following the Trump administration's Big, Beautiful Bill, which enforces sweeping budget cuts and officially ends the $7,500 EV credit, have seen Tesla stock tumble.

This coincides with Musk's return to politics, something for which he has been heavily criticized by Trump as well as industry experts, who expressed concerns over Musk's commitment to Tesla following his announcement of the "America Party" political party.

Tesla offers poor Momentum and Value, while scoring well on the Growth metric and offering satisfactory Quality. For more such insights, sign up for Benzinga Edge Stock Rankings today!

Check out more of Benzinga’s Future Of Mobility coverage by following this link.

Read Next:

• Elon Musk's SpaceX Insider Share Sale Could Push Valuation To $400 Billion—Starlink Is The Rocket Fuel

Photo courtesy: VTT Studio / Shutterstock.com