Elon Musk's Approval Rating Plummets Amid Political Controversy and Tesla's Struggles

Elon Musk, the billionaire entrepreneur behind tesla, SpaceX, and X, has long been a polarizing figure. Known for his ambitious ventures and outspoken personality, Musk's public image has fluctuated over the years. However, recent data indicates a sharp decline in his approval rating, raising questions about the factors driving this downturn and its potential impact on Tesla's stock price.

Current Approval Rating and Stats: A Steep Decline

Elon Musk, appointed to lead the Department of Government Efficiency with the mission of downsizing the federal workforce, faces significant public doubt regarding his qualifications.

As of March 2025, Elon Musk's approval rating has taken a notable hit. A CNN/SSRS poll conducted in early March 2025 reveals that Musk's net favorability rating stands at -18%, with only 35% of respondents viewing him favorably compared to 53% who view him unfavorably. This marks a significant decline from previous polls, positioning Musk's public image at one of its lowest points in recent years.

Over 60% of surveyed individuals believe he lacks the experience and judgment necessary to execute Trump's ambitious overhaul of the federal government. Opinions on Musk's capabilities are sharply divided based on political allegiance. Among Trump supporters, at least 75% express confidence in Musk's judgment and expertise for the role. Conversely, among those with an unfavorable view of Trump, fewer than 10% share this trust in Musk's abilities.

The Trump administration's proposed reductions to federal spending have sparked widespread apprehension, with 62% of respondents fearing that these cuts might be excessive. This concern varies significantly across party lines. A striking 90% of Democrats and 69% of independents are anxious about the potential elimination of vital federal programs. In contrast, 73% of Republicans focus their concerns on the persistence of fraud and waste in government spending, suggesting a preference for cuts to address these issues rather than preserve existing programs.

The CNN-reported data underscores a growing dissatisfaction with Musk, reflecting a broader shift in public perception.

What Causes the Significant Drop

Several key factors have contributed to the steep decline in Musk's approval rating:

1. Political Involvement and Controversy

Musk's prominent role in the Trump administration as the head of the Department of Government Efficiency (DOGE) has sparked widespread criticism since the start of this year. His efforts to impose deep cuts in government spending and lay off thousands of federal workers have angered many, particularly liberals and government employees. This political engagement has shifted Musk's image from a visionary innovator to a divisive political figure.

2. Perception of Neglect at Tesla

With Musk managing multiple ventures, SpaceX, X (formerly know as Twitter), xAI, and now a political role, there is a growing perception that he is neglecting Tesla. This has fueled doubts about Tesla's leadership and strategic direction, especially as the company faces mounting competition in the electric vehicle market.

3. Public Backlash and Protests  

Musk's actions have triggered intense public backlash, including protests, vandalism, and arson attacks on Tesla facilities. Movements like the Tesla Takedown, which encourage boycotts and divestment from Tesla, have gained traction, damaging both Musk's reputation and Tesla's brand image.

4. Tesla's Declining Performance

Tesla's financial struggles have compounded negative sentiment toward Musk. The company reported a 20% drop in annual operating profit in January 2025, and its stock price has plummeted, losing over $800 billion in market capitalization since its peak in December 2024. This decline has shaken investor confidence and reflected poorly on Musk's leadership.

5. Controversial Statements and Endorsements

Musk's endorsement of far-right political parties in Europe, such as Germany's Alternative for Germany (AfD), and his provocative statements on social media have alienated significant portions of the public. His comments on issues like immigration and Ukraine have drawn widespread criticism, particularly from liberal-leaning individuals.

Tesla's Stock Price: Subsequent Damage of Musk's Dropping Poll

Tesla's stock price has mirrored the decline in Musk's approval rating, experiencing a sharp downturn since late 2024. The stock peaked at nearly $480 on December 17, 2024, but has since lost over $800 billion in market capitalization. As of March 14th, 2025, it closed at $249.98 following the seven consecutive weeks of decline. Marking the worst month since December 2022, the Tesla stock has plunged 28% during Feb 2025. More shockingly, a dramatic 15% daily drop occurred amid broader market selloffs on March 10th, 2025.

Despite a brief post-election surge in late 2024, Tesla's stock has struggled under the weight of investor concerns about Musk's divided focus, declining sales, and the company's damaged brand image. Analysts from Bank of America and Goldman Sachs have lowered their price targets, reflecting growing unease about Tesla's near-term prospects.

As Musk navigates his expansive ambitions, the interplay between his public image and Tesla's fortunes will continue to shape their uncertain future. For now, both Musk and Tesla face a challenging road ahead, with obstacles that show no immediate signs of abating.