One analyst called on Tesla's board of directors to act and set "ground rules" for Musk's political involvements.

Mr. Musk’s involvement in politics and his financial support for the president’s campaign were once seen by investors as a benefit to Tesla, fueling a steep rise in company shares after the election last year. That association has now turned into a liability. Tesla shares are down 40 percent from their peak in December.

Elon Musk said he would form a new political party called the "America Party." Tesla shares fell around 7% in premarket trading on Monday after Musk's announcement. Tesla shareholders have wanted Musk to stay away from politics,

Longtime supporters of Tesla and Elon Musk called on its board to pull the CEO back to the troubled EV maker after he said he is starting a new America Party.

Elon Musk announced his intention to launch a third party, reigniting his feud with Donald Trump and sending Tesla shares spiraling. Max Chafkin and Mark McKinnon discuss on The Eleventh Hour.