Tesla shares bounce back after Elon Musk agrees to step down as chairman
Tesla shares have jumped over 16 per cent following a backlash last week over the company's $40m (£31m) fine from the US Securities and Exchange Commission (SEC).
Musk has been pursued by the SEC over a tweet he sent in August saying he has secured funding to take Tesla private at $420 per share. The SEC said the tweets could amount to fraud or market manipulation by artificially inflating the stock market price.
Read more: Musk to step down as Tesla chairman in deal with US regulators
Shares dived nearly 14 per cent on Friday after it was revealed that Musk and Tesla would pay $20m each as part of the settlement with the SEC.
Musk will also be removed as chairman for at least three years but will remain as chief executive.
Bullish Tesla investor Loup Ventures argued that the company's run-in with the SEC was in fact a "rare case" of opportunity.
"The open board chairperson role creates an opportunity for Tesla to potentially put someone in place that is capable of influencing Musk and helping Tesla reach sustainability," chief executive Gene Munster wrote in a blog post.
Munster said environmentalist Al Gore, who currently sits on Apple’s board, "could be an interesting fit given his interest in climate change".
Read more: Tesla’s shares plunge after SEC files lawsuit against Elon Musk
Munster also recommended former Boeing boss Jim McNerney as a "good option" for the role of chairman.
He added that Musk should "tone down his public-facing behaviour, particularly on Twitter".
He advised: "If Musk can step away from the external stuff that doesn’t matter, he’ll make the game that much easier for himself, and that will be good for everyone, just like this settlement."