Tesla (TSLA) investors need clarity from Elon Musk on the company’s cost-cutting rationale, strategy, product roadmap and vision amidst weak global demand, Wedbush said in a note Monday. The investment firm added that without clear communication, investors may lose confidence and choose to sell their shares given the demand headwinds in 2024. There were reports earlier on Monday that the company has decided to reduce headcount globally by more than 10%. Musk must outline Tesla’s growth strategy, particularly in China, to reverse this negative demand trend, according to the note. “This is a crucial few months ahead for Musk and Tesla to give the [Wall Street] its blueprint for growth into 2025,” the firm said. Wedbush reiterated its outperform rating on Tesla with a price target of $300.

Tesla’s (TSLA) job cuts reported by media outlets represent “another dark day” for the electric vehicle maker following a first-quarter delivery miss and the overall pressure on the business, Wedbush Securities said Monday. Tesla will lower its global headcount by more than 10% in a bid to cut costs, media outlets reported Monday, citing an e-mail sent to employees by Tesla Chief Executive Elon Musk. “Over the years, we have grown rapidly with multiple factories scaling around the globe,” resulting in duplication of certain roles and job functions, Musk reportedly wrote. “As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity.” Drew Baglino and Rohan Patel, who was Tesla’s policy chair, are no longer with the company, Electrek reported. Tesla didn’t respond to MT Newswires’ request for comment. The company’s shares