
Ross Gerber is an early investor in Tesla and the president and CEO of Gerber Kawasaki Wealth & Investment Management, which manages about $3 billion in assets. He was once bullish on Tesla, but reduced his holdings of Tesla stock by 31% in 2024 and currently holds 262,000 shares.
Gerber is pessimistic about the future of Tesla’s stock. He accurately predicted the decline in Tesla’s stock price in 2025 and believes that the stock price will continue to fall. Gerber believes that Tesla is overvalued, and even after a sharp correction in the stock price, the price-to-earnings ratio is still much higher than the S&P 500. He pointed out that Tesla’s profitability is insufficient, and earnings per share fell by 52% in 2024, and there is uncertainty in future earnings expectations.