Elon Musk Admits Juggling Between Tesla, DOGE Is Difficult, Says Running Businesses 'With Great Difficulty' As TSLA Stock Plunges 50% In 3 Months

Elon Musk is experiencing challenges managing his various businesses while working with the Trump administration for the Department of Government Efficiency (DOGE).

What Happened: Musk, in an interview with Fox Business’s Larry Kudlow, said he is running his businesses "with great difficulty" while working with the Donald Trump administration. This comes amid a huge decline in TSLA stock on Monday.

The company's stock price declined over 15% to $222.15, resulting in a $130 billion loss in market capitalisation.

This decline contributed to a 4% drop in the Nasdaq index, driven by fears of a potential recession due to the Trump administration’s tariffs.

The market value loss on Monday surpassed the combined stock market value of Ford Motor Co. F and General Motors Co. GM. The recent downturn erased the gains from a previous rally that nearly doubled Tesla’s stock following the election of U.S. President Trump.

Investors are worried that Musk’s involvement with the Department of Government Efficiency is detracting from his focus on his companies, including SpaceX, X, and xAI.

Protests against Tesla have emerged in the U.S. and Europe, with demonstrators criticising Musk’s political activities. Tesla’s European sales dropped 45% in January, contrasting with a 37% rise in overall EV sales, according to the European Automobile Manufacturers Association.

Why It Matters: The decline in Tesla‘s stock is part of a broader trend that has seen the company’s market cap drop significantly since the beginning of 2025.

According to Benzinga Pro data, Tesla’s stock has crashed about 40% since President Trump took office, with the brand taking a substantial hit. Despite this downturn, some analysts, like Dan Ives from Wedbush, see it as a “generational opportunity” and predict a potential rebound.

Moreover, Tesla’s brand image has reportedly been declining, partly due to Musk’s political involvement and his role in the Department of Government Efficiency. This has led to a decrease in deliveries and a further drop in stock value.

In an effort to support Musk, President Trump expressed his intention to purchase a Tesla vehicle. Trump accused the “Radical Left Lunatics” of trying to boycott Tesla and harm Musk, highlighting the political tensions surrounding the company.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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