Tesla (NASDAQ:TSLA) stock slid on Wednesday following reports that CEO Elon Musk is considering taking on an advisory position for former President Donald Trump if he regains the presidency.
According to a Wall Street Journal report, Trump and Musk have discussed a potential advisory role for the Tesla CEO, should Trump manage to win the 2024 election this year.
While there is still much in the air as it pertains to the role, that the two would collaborate at all has come to the surprise of many given their previous disagreements. Indeed, just two years ago, Musk and Trump were publicly attacking each other. Musk even claimed that Trump is too old to be president and should “sail into the sunset.”
Musk has tweeted in the past that he voted for President Joe Biden in the last election but doesn’t see himself doing so again. This may have been what opened the door to these discussions.
As part of the meeting, Musk apparently briefed Trump on a way to invest in a “data-driven project” designed to inhibit voter fraud. Along with fellow billionaire Nelson Peltz, Musk also told Trump of a sort of influence campaign in which the two bring in wealthy business leaders to meetings designed to try to persuade them not to vote for Biden in the 2024 election.
The discussion between apparently occurred back in March, at Peltz’s estate in Palm Beach, Florida.
What Does Musk’s New Potential Political Role Mean for TSLA Stock?
While today’s news isn’t directly related to Tesla stock, it will likely come to have an effect on the security nonetheless. Indeed, in the past, Musk’s political hijinks have pushed investors to sell off TSLA stock. If history is any indicator, this could be the case once again.
Tesla stock is already down nearly 30% so far this year, having wiped hundreds of billions in market capitalization off the table. Investors may not be too pleased to see Musk continue to take bold steps toward his political agenda, especially with the election just months away.
Whether this pushes TSLA stock down even further remains to be seen.
On the date of publication, Shrey Dua did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
