Investor Ross Gerber has stated that Tesla sales have bottomed and are now looking better, citing high gas prices linked to the Iran war as a key factor driving consumers toward electric vehicles. In a post on X, the Gerber Kawasaki co-founder noted that fuel costs are prompting an EV shift, with drivers seeking out the best options available.
"High gas prices work their magic," Gerber said, adding that customers wanted "the best EVs despite the dissonance." His comments come as gas prices reach new highs, according to the report from Benzinga.
Tesla has faced criticism over its brand image following Elon Musk's right-wing political activism and his association with President Donald Trump. Musk recently pushed back against claims that these factors would damage the company's sales.
The Model Y stood out as the best-selling car globally in 2023, 2024 and 2025, reaching cumulative sales of over 4 million units. This performance underscores the vehicle's strong market position even amid broader industry challenges.
Tesla's sales also grew in April in European markets like France and the Netherlands, providing further signs of recovery in key regions. These increases come as the company navigates shifting consumer preferences influenced by energy costs.
According to Benzinga Edge Rankings, Tesla scores well on the Growth and Quality metric, while also providing a favorable price trend in the Short, Medium and Long term. This assessment offers one perspective on the company's financial metrics amid the sales discussion.
Tesla shares were up 0.41% at $435.35 during the aftermarket trading on Wednesday, reflecting a modest gain following the latest commentary on sales trends. Market observers continue to monitor how external factors like fuel prices influence electric vehicle demand.
Gerber's remarks highlight one investor's view that external pressures on traditional fuel sources could benefit EV makers like Tesla. The Iran war has reportedly contributed to the spike in gas prices, pushing more drivers to consider alternatives.
Critics of the Tesla brand have pointed to Musk's political activities as a potential drag on sales, but the company has shown resilience in specific markets and vehicle segments. Musk's responses have aimed to counter these narratives directly.
The global success of the Model Y across multiple years demonstrates sustained consumer interest in Tesla's offerings. Cumulative sales exceeding 4 million units for that model alone mark a significant milestone for the automaker.
European sales data from April indicates positive movement in France and the Netherlands, though broader trends remain subject to ongoing economic conditions. Officials and analysts have noted similar patterns in other regions tied to energy prices.
Stock performance on Wednesday showed a slight uptick in aftermarket trading, with shares closing at $435.35 after the 0.41% gain. This movement aligns with reports linking higher gas prices to increased EV interest.
Overall, the developments reflect how geopolitical events and fuel costs can intersect with automotive sales, according to Gerber's analysis. Tesla continues to report specific gains even as debates around brand perception persist.