Tesla's stock plummeted 7% after Elon Musk announced a new political party, prompting Wedbush Securities analyst Daniel Ives to urge Tesla's board to rein in Musk's political activities. Ives proposed a three-point plan: a new incentive-driven pay package for Musk, clear guidelines on time commitment to Tesla, and a committee to monitor his political involvement. Musk dismissed Ives' concerns. This follows previous reports of Tesla's board seeking a potential successor to Musk due to concerns about his focus on outside ventures.

Prepared by Christopher Adams and reviewed by editorial team.