Controversy seems to be Elon's middle name. As of Friday, he made the stock price of his own company drop 8%.
After the Q1 financial report became public on Thursday, the stock price for Tesla went up in after-hours trading by 9%. The happiness didn't go on for too long because on Friday, Elon Musk posted a surprising tweet addressing his own company.
“Tesla stock price is too high, IMO” – it made the share price drop 8% below $700 by midday, whipping off more than $14 billion.
It is not the first time when Elon directly influences TSLA share price. In 2013 at a London event, he stated that the company is overvalued "The stock price that we have is more than we have any right to deserve." And he did it once more in December 2019 also via a tweet "Whoa… the stock is so high lol."
Tweets like these got him in trouble before. Since 2018 everything that he posts and can have an impact on the company’s stock price must undergo a team of lawyers before posting.
Not everyone sees this a move made in bad-faith. Professor John Coffee from Columbia University thinks this can be considered a bold move for a CEO. "It is very rare for a CEO to admit that his stock price is too high, and such assessments should be encouraged, not punished."
Today, in pre-market, the stock price went up by more than 1% after the company announced that it applied for a license to generate electricity in the UK, as they already do in Australia.
See the difference when trading with CAPEX.com by accessing elite features:
- Stellar custom service
- Powerful WebTrader platform and mobile app
- High-end integrated trading tools
- Full license and regulation from top regulators
Sources: bbc.com, edition.cnn.com, news.sky.com
The information presented herein is prepared by CAPEX.com and does not intend to constitute Investment Advice. The information herein is provided as a general marketing communication for information purposes only and as such it has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is not subject to any prohibition on dealing ahead of the dissemination of investment research. Users/readers should not rely solely on the information presented herewith and should do their own research/analysis by also reading the actual underlying research. The content herewith is generic and does not take into consideration individual personal circumstances, investment experience or current financial situation. Therefore, Key Way Investments Ltd shall not accept any responsibility for any losses of traders due to the use and the content of the information presented herein. Past performance is not a reliable indicator of future results.
Die Benutzer / Die Leser sollten sich nicht nur auf die hier präsentierten Informationen verlassen und sollten ihre eigene Forschung / Analyse durchführen, indem sie auch die eigentliche zugrunde liegende Forschung lesen.Der Inhalt ist dabei generisch und wird nicht die individuelle persönliche Umstände,Anlageerfahrungen oder die aktuelle finanzielle Situationen berücksichtigten.
Daher übernimmt Key Way Investments Ltd keine Haftung für Verluste von Händlern aufgrund der Verwendung und des Inhalts der hierin enthaltenen Informationen. Die in der Vergangenheit gezeigte Performance und gemachten Prognosen sind kein zuverlässiger Indikator für künftige Ergebnisse.