(Morningstar) Long-term shareholders of Tesla (TSLA) are preparing to push the company on race issues after California sued the electric car maker for alleged racial discrimination and harassment.
The complaint filed by the California Department of Fair Employment and Housing earlier this month followed claims from hundreds of workers that they were the targets of discrimination, including the use of racial slurs by co-workers.
Since news of the lawsuit broke on Feb. 9, 2022, Tesla shares are up 0.05%, reversing a slide triggered in part by investors focusing on growing competition and the impact of supply-chain disruptions. By contrast, the Morningstar US Large-Mid Index is down 0.84% in that time. After closing at $923.39 per share on Feb. 16, it still trades above Morningstar’s fair value estimate of $700. Since the start of the year, Tesla is down 12.7%, about double the 6.4% decline for the U.S. large-mid index.
Read more here.