Becker Private Equity & Business Podcast
It’s Good to be Friends with the King 4-28-25
Mon, 28 Apr 2025
In this episode, Scott Becker discusses Tesla’s stock surge after news of eased self-driving regulations.
What recent news affected Tesla's stock?
This is Scott Becker with the Becker Private Equity and Business Podcast. Today's discussion is, it's good to be friends with the king. So here's the story. Last week, Tesla stock jumped. It jumped on news that the Department of Transportation and the federal government is very likely to ease rules on self-driving cars. This news couldn't have come quickly enough for Tesla.
Tesla's been in quite the nosedive this year. Its profits were down about 71% year over year for the quarter. It's in a spot where it's not making money on electric vehicles. The ultimate demand for vehicles is going down. The price premium is also going down. This concept that the government's going to allow self-driving cars sooner rather than later was a huge shot in the arm for Tesla.
And we're not saying that this is a knock on the close relationship between President Trump and Elon Musk, but it's always good to have friends in high places. And this was just the shot in the arm that it seems like Tesla needed. So we found that fascinating. Thank you for listening to the Becker Private Equity and Business Podcast. Thank you very, very much.