Tesla stock fell almost 7% in premarket trading on Monday after Musk announced a new political party.Tesla investors are frustrated with his political involvement, wrote analyst Dan Ives.Musk's feud with Trump makes investors worry about Tesla's future,

Elon Musk said over the weekend he was starting a new “America Party.” That’s “exactly the opposite direction” that Tesla shareholders want, an analyst says.

Mr. Musk’s involvement in politics and his financial support for the president’s campaign was 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.