Gary Black Says Elon Musk's 'Buzzwords And Technical Jargon' Did Little To Boost Investor Confidence Following Tesla Earnings Call
Gary Black, managing director of Future Fund LLC, criticized Elon Musk's comments during Tesla's Q3 earnings call, stating they lacked specifics and failed to boost investor confidence. He noted that the call was filled with technical jargon, which did not resonate with investors, leading to a decline in stock price. Black suggested that Tesla's management should focus on strategic initiatives and consumer responses to new vehicles. Additionally, Ross Gerber warned against Tesla shifting focus away from its core EV business, while Black anticipates strong approval for Musk's controversial pay package at the upcoming shareholder meeting.
Future Fund LLC's managing director, Gary Black, says that Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk's comments about the future aren't enough to instill confidence in the company's investors following a mixed Q3 earnings report.
Earnings Call Was Long On Promise But Short On Specifics, Says Gary Black
Taking to the social media platform X, the investor shared his thoughts on the EV giant's earnings call in a post on Wednesday. "$TSLA 3Q conference call was long on promise but short on specifics," Black said.
He then went on to provide a highlight of the earnings conference's major points, including the question of when Tesla would remove onboard safety operators from its Robotaxis, which Musk addressed in the earnings call.
The investor said that Musk's comments seem fit for engineers and not investors. "The technical jargon and buzzwords did little to instill confidence – hence the stock price kept falling during most of the call," Black said.
He added that the company's management should've instead focused on discussing "major strategic initiatives, early consumer response to the new more affordable vehicles," among other things.
Ross Gerber Says Tesla Shouldn't Focus Away From EVs
Gerber Kawasaki's co-founder Ross Gerber, during an interview, said that Tesla's focus shifting away from its core business, like EVs, which the investor believed is still "wildly profitable" for Tesla, would be a "strategic error" for Musk's EV giant.
He also outlined that Tesla makes the best cars in the world and that he still personally owned Tesla stock, while also holding over "$80 million" worth of Tesla shares for clients.
Musk Calls ISS Corporate Terrorists, Gary Black Sees Pay Package Approved
Musk, meanwhile, called proxy advisory firms like International Shareholder Services (ISS) and Glass Lewis corporate terrorists for opposing the billionaire's $1 trillion pay package.
Elsewhere, Black sees the new pay package receiving overwhelming approval from Tesla's investors at the shareholder meeting in November, with over 70-75% investors in the company being in favor of the pay package.
