Tesla’s stock has dropped 44% year-to-date, influenced by sales concerns and CEO Elon Musk’s focus on DOGE. However, inside Tesla, employees express that they are not troubled by the carmaker’s stock price.
“It feels like we’re in a storm right now, but I’m personally very confident in the company,” one employee stated.
The decline in Tesla’s stock is attributed to fears of slowing sales, increasing competition, and Musk’s preoccupation with matters in Washington, DC. Despite this, the sentiment among employees is largely indifferent. One Tesla worker in the sales department mentioned that the plummeting stock is only concerning for short-term investors.
Business Insider engaged with 10 Tesla employees across various roles and locations. All but one, who left earlier this year, are still employed by Tesla, and nine own Tesla stock. They spoke anonymously to avoid professional repercussions. The general consensus among these employees is that the stock remains up about 30% from last year and has spiked over 800% in the last five years.
Four workers actively avoid checking the share price. “If you’re looking everyday, you’re going to drive yourself crazy,” a Texas-based employee remarked, noting that factors like Musk’s dealings are beyond their control.
In informal company forums discussing stock performance, the attitude remains similar. Workers haven’t been posting anything unusual; the channel, with a few thousand users, is often used to share tweets and news stories about Tesla.
Historically, stock grants have been a significant part of Tesla’s compensation package. Musk mentioned in 2023 that the company has made factory line workers into millionaires.
“There’s definitely some people who want to work at Tesla because they think they’ll get rich fast on the stock, but those people don’t last long,” the former worker said.
Two workers noted that the stock’s volatility has pushed them towards long-term cash options. Tesla generally offers lower base salaries compared to its tech and automotive peers but provides substantial stock grants.
In 2024, Tesla granted workers an estimated $2.69 billion in restricted stock units and about $3.5 billion in stock options.
Two employees felt that Tesla’s share price was the least of workers’ concerns, with protests over Musk’s association with Donald Trump and the Department of Government Efficiency being more pressing.
Still, eight workers expressed optimism about the company’s future.
“It’s an old story,” one manager said. “Elon has always been in this controversial space, but if the product is good enough people are going to buy it anyway.”
— news from Business Insider