London Daily

Focus on the big picture.
Tuesday, Sep 15, 2026

Elon Musk warns employees Tesla's stock could 'get crushed like a soufflé under a sledgehammer'

Elon Musk warns employees Tesla's stock could 'get crushed like a soufflé under a sledgehammer'

Tesla CEO Elon Musk is telling his employees they need to cut costs or they can kiss its lofty stock price goodbye.
Tesla (TSLA) shares have been among the best performers in 2020, rising nearly 600% through Tuesday trading, making it among the most valuable stocks in the country, worth more than any major automaker. After years of losses Tesla has now reported five straight quarters of positive net income.

But in an email to employees Musk acknowledged that Tesla's actual profit margin is fairly low, only about 1%, and that the stock price is due to investor expectations of future profits rather than recent results.

"If, at any point, they conclude that's not going to happen, our stock will immediately get crushed like a soufflé under a sledgehammer!" he wrote in the email, which was first reported by Electrek. Tesla did not respond to a request for comment about the email.

The email was primarily focused on the importance of finding even small cost savings in the car building process.

"This a tough Game of Pennies — requiring thousands of good ideas to improve part cost, a factory process or simply the design, while increasing quality and capabilities," Musk wrote. "A great idea would be one that saves $5, but the vast majority are 50 cents here or 20 cents there."

While Tesla has become the leader in electric cars, all the top automakers are making major pushes to build more electric vehicles. General Motors (GM) has announced plans to switch to nothing but electric vehicles, and expects 40% of the cars it sells to be electric within five years. Part of the incentive is that electric vehicles can be cheaper to build because they have fewer moving parts than gasoline powered vehicles.

In separate comments Tuesday, Musk repeated a statement he has made previously that the Tesla stock price is "too high."

"I even said the stock was too high. I mean what am I supposed to do," he said while rolling his eyes during an interview with Mathias Doepfner, CEO of technology and media company Axel Springer. Musk was responding to the fact that Tesla is worth more than five times as much as Volkswagen (VLKAF), the world's largest automaker in terms of sales.

Doepfner asked if Musk would consider using Tesla's lofty stock price to buy an established automaker and although Musk said he's not looking to do that, he wouldn't rule it out.

"We're definitely not going to launch a hostile takeover," he said. "If somebody said, 'Hey, we think it'd be a good idea to merge with Tesla,' we'd certainly have that conversation."

Musk's full interview with Doepfner was posted on YouTube.
Comments

Oh ya 6 year ago
Even though his cars seem to fall apart or the roof falls off just after leaving the showroom he is at least telling the truth about his stock, it's not worth anywhere near what the market players are driving it up to. And you trust your financial advisor LOL

Newsletter

Related Articles

0:00
0:00
Close
HMRC Warns Nearly Seven Million Adults Are Unclear About State Pension Entitlements
UK Parliament Passes Sovereign Grant Reform Before Conference Recess
British Rail Passengers Gain Automatic Right to Switch Operators During Disruptions
Burnham Hosts Downing Street Business Summit as UK Fiscal Pressure Builds
Labour Government Moves to Challenge £72 Million in Reform UK Crypto Donations
UK Advertising Industry Warns Wider Junk Food Rules Could Put £1 Billion in Media Spending at Risk
Cornwall Opens Devolution Talks With UK Government Over Transport and Local Services
UK Parliament Considers Sovereign Grant Reform Setting Royal Funding at £99.9 Million
Trades Union Congress Calls for Income-Based Energy Tariff Funded by Higher Bank Levy
UK Prime Minister Rejects Second Scottish Independence Referendum
House of Lords Begins Scrutiny of Bill to Lower UK Voting Age to 16
Anthropic Says Claude Was Exploited in Weapons-Related and State-Linked Cyber Activity
Institute of Directors Urges UK Government to Avoid Business Tax Increases in Autumn Budget
Rising Gilt Yields Cut UK Fiscal Headroom to About £13 Billion Ahead of Budget
UK Economy Grows 0.4% in July as Services and Technology Activity Strengthen
UK Government Promises Clearer Student Loan Guidance After Repayment Backlash
Charities Warn Unpaid Carers May Die Before Receiving Government Compensation
Dover Unrest Prompts Review of UK Counter-Extremism Strategy
Celtic Summit Leaders Reassert Right to Pursue Independence From UK
NHS Records Busiest Summer on Record Amid Severe Heatwaves
Harrods Faces Potential £150 Million Compensation Bill Over Al Fayed Abuse Claims
UK Parliament Opens Debate on Landmark Assisted Dying Legislation
Metropolitan Police Investigate Reform UK Over Alleged Foreign Electoral Donations
UK Economy Expands 0.4% in July as AI Investment Boosts Activity
Bank of England Signals Caution on Rates as Inflation Pressures Persist
Tesco Alerts Police After Scammers Use Its Branding in AI-Generated Fraud
Lindy Cameron Appointed First Female Permanent Under-Secretary at UK Foreign Office
UK Government to Rewrite Student Loan Guidance After Mis-Selling Criticism
Welsh First Minister Warns Andy Burnham Government to Respect Devolution
Trump’s Falkland Islands Remarks Trigger New Diplomatic Tension With Britain
Reform UK Receives Record £72 Million Donation From Cryptocurrency Billionaires
UK Bans Imports From Israeli West Bank Settlements and Sanctions Supporting Institutions
Bayeux Tapestry Draws Large Crowds at British Museum
Cuts to International Aid Raise Concerns Over Fragile Overseas Health Systems
UK Airlines and Logistics Operators Adjust Capacity as Fuel Costs Rise
UK Mortgage Arrears Edge Lower in Second Quarter
UK Government Advances New Devolution Offers for English Councils
UK Parliament Begins Debate on NHS Governance and Single Patient Record Reforms
Andy Burnham Launches Number 10 North Devolution Initiative
UK Parliament Rejects Assisted Dying Bill for Terminally Ill Adults
UK Bans Goods From Israeli Settlements in the Occupied West Bank
UK Economy Grows 0.4% in July as Technology Services Strengthen
Metropolitan Police Continue Investigation Into Reform UK Political Financing
Chinese Crypto Entrepreneur Leon Li Identified as Seller of £190 Million London Mansion
Trades Union Congress Proposes Social Energy Tariff Funded by Higher Bank Surcharge
British Chambers of Commerce Calls for State Pension Triple Lock to Be Scrapped
Anthropic Says Claude Helped Disrupt Biological Weapons and Cyber Espionage Threats
UK Imposes Sanctions Over Israeli Settlements and West Bank Violence
UK Reimposes Sectoral Sanctions on Iran’s Aviation, Shipping and Energy Networks
UK Economy Grows 0.4% in July as AI and Programming Services Lift Activity
×