Welcome back to our Sunday edition, where we round up some of our top stories and take you inside our newsroom. Wonder what it was like to attend Nvidia’s annual developer festival, where the party started with pancakes in the parking lot? Our reporter Emma Cosgrove was on the ground for the so-called “Super Bowl of AI.”
On the agenda today:
But first: What’s next for Tesla?
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This week’s dispatch
Tesla’s losing streak
Tesla’s stock has yet to have a winning week since President Trump took office. BI readers got an early signal trouble was coming.
Last month, Tesla investor Ross Gerber told our reporter Matthew Fox that the stock could decline as much as 50% in 2025. “He let it loose for like 20 minutes,” Matthew told me about the call with Gerber. Shares have slipped about 20% since our story. Overall, the stock is down nine weeks in a row.
There have been declining sales in Europe. Chinese rival BYD announced competing tech that it said can charge a car in five minutes. A downdraft in resale values. Consumer backlash over Musk’s politics. Concerns about how much time Musk is spending on DOGE versus Tesla. Even Wall Street loyalists like Dan Ives started throwing shade.
Despite the string of woes, Tesla has boosters in the government, including President Trump and Commerce Secretary Howard Lutnick. As Dakin Campbell reports, their Tesla promotion is becoming an ethics nightmare — and it’s not even working.
The stock could certainly rubberband back. A Cantor Fitzgerald analyst offered seven potential catalysts tied to Tesla’s business prospects in the next year or so. In a Thursday night all-hands, Musk demonstrated that he can get away with more than other CEOs. He urged employees not to sell their Tesla stock — and won Ives over in the process.
Gerber told us in a follow-up call earlier this month that he doesn’t see a rebound in sight.
Has the Tesla sell-off gone too far? Where is the stock headed next? Let me know what you think of our coverage at [email protected].
Trump targets Big Law
The Trump administration sent letters to 20 of America’s most prominent Big Law firms, questioning them over their diversity programs. One notable absence from the list is Jones Day, a GOP favorite that appears to have many of those same diversity programs.
It’s the latest instance of the president playing favorites with Big Law firms. Trump previously singled out Perkins Coie, Paul Weiss, and Covington & Burling, firms he believed wronged him politically in the past.
A strategy years in the making.
Also read:
Needy hospitals’ cycle of pain
As Steward Health Care closed hospitals and cut corners on care, its top officers got richer, and the profits kept flowing to its private-equity owner Cerberus.
Now, its bankruptcy reveals a deeper flaw in America’s healthcare infrastructure. Facilities that have been plundered can only be sold to others who are likely to continue the plundering, Bethany McLean writes.
Plunder, sell, repeat.
Tech goes hardcore
For years, tech employees enjoyed high salaries and swanky perks. But after the pandemic boom ended in 2022, the industry has drastically changed its tune.
Silicon Valley has embraced Elon Musk’s slash-and-burn tactics: Performance pressure, proclamations of “efficiency” and “intensity,” and sweeping layoffs are the new norm. Employees across the industry told BI about the pressure to “do more with less.”
No more coddling employees.
Inside JPMorgan’s RTO plans
JPMorgan told workers at its Polaris campus in Columbus, Ohio — which houses roughly 12,000 employees — to return to the office five days a week, starting on April 21, per an internal memo viewed by BI.
The memo also addressed the office’s current lack of amenities by outlining plans to include offsite parking, a free shuttle service, and upgraded dining options. But Polaris employees who spoke to BI were unimpressed.
They shared why.
This week’s quote:
“It felt like a special kind of cruelty.”
— A former Meta employee who found out they were on the company’s “do not hire” list told BI.
More of this week’s top reads:
- Why these federal workers regret voting for Trump: ‘This is not The Apprentice.’
- AI agents are all the rage. But no one can agree on what they do.
- What Google’s $32 billion Wiz acquisition means for startups — and Trump.
- Bank of America targets a longstanding Wall Street tradition in its latest effort to address junior banker burnout.
- Microsoft is replacing its chief people officer as it rethinks performance reviews. Read CEO Satya Nadella’s email.
- Here’s how members of Congress actually get rich.
- America was enjoying a whiskey and bourbon revival. Trump’s trade war is putting a stop to it.
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A Gen Xer’s plan to earn $800K this year across 6 remote jobs: Hiring people to be him.
The BI Today team: Dan DeFrancesco, deputy editor and anchor, in New York. Grace Lett, editor, in Chicago. Amanda Yen, associate editor, in New York. Lisa Ryan, executive editor, in New York. Elizabeth Casolo, fellow, in Chicago.
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