Tesla Chair Robyn Denholm Refutes Claims of CEO Elon Musk Replacement Plans
Tesla Chair Robyn Denholm firmly denies reports that the company’s board has initiated a search to replace CEO Elon Musk, affirming confidence in his leadership and future growth strategy.
HIGHLIGHTS
- Tesla Chair Robyn Denholm categorically rejected reports that the board contacted executive search firms to begin a formal CEO replacement process for Elon Musk.
- According to The Wall Street Journal, the board allegedly started searching "about a month ago" amid concerns over Musk’s divided focus due to his involvement in Washington politics.
- Denholm responded on Tesla’s X platform, stating that Elon Musk remains the CEO and the board strongly supports his vision and ability to drive Tesla’s ambitious growth plans.
On Thursday, Tesla’s Chair Robyn Denholm dismissed rumors suggesting that board members had engaged executive recruiters to find a successor for CEO Elon Musk. This comes after a Wall Street Journal report claiming the search began roughly a month prior, triggered by investor worries over Musk’s attention being split by his federal government activities.
The report cited insiders saying the board met with Musk, advising him to dedicate more time to Tesla and publicly acknowledge this commitment. In response, Musk pledged during a conference call following Tesla’s latest earnings release to prioritize his responsibilities at Tesla over his political engagements.
Denholm clarified on Tesla’s official X account that the claims were incorrect and emphasized that Elon Musk continues to lead the company with the board’s full confidence in his ability to execute Tesla’s exciting future growth strategy.
Wedbush Analysts Predict Elon Musk Will Remain CEO for Years to Come
Wedbush Securities analysts, led by Dan Ives, who maintain an “outperform” rating and a $350 price target on Tesla stock, described the rumored CEO search as outdated news. Recognized as some of the most optimistic Tesla proponents on Wall Street, they have previously noted concerns about Musk’s involvement with the cost-cutting initiative DOGE impacting Tesla.
“Despite the tension, Musk took the right steps, and we expect him to continue as Tesla’s CEO for at least the next five years. It would be surprising if the board pursued a CEO search at this point,” the analysts remarked. “We also believe Musk’s participation in White House affairs is winding down following this clear message from the Tesla board.”
Tesla shares, which have declined 30% year-to-date, showed little movement in early trading on Thursday.
UPDATE—May 1, 2025: This article has been revised to incorporate Wedbush’s commentary and recent stock price updates.
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