Tesla Stock (NASDAQ:TSLA)
Tesla (NASDAQ:TSLA) stock hit an annual low on Tuesday despite the market rally caused by lower-than-expected CPI data.
Tesla’s stock price fell 6.27% around midday on Tuesday. The company is headquartered in Austin. Tesla stock is trading around its lowest level since late 2020 after today’s drop, pushing year-to-date losses beyond 60%.
Elon Musk, the wealthiest man in the world until Bernard Arnault passed him on Tuesday, signed a $44 billion contract to acquire Twitter, which has hastened the stock’s steep plunge in 2022. Musk has now sold billions of dollars worth of Tesla stock to pay for the expensive acquisition.
Some shareholders started to wonder whether he was selling again on Tuesday.
Gary Black, managing partner at The Future Fund, tweeted on Tuesday, “Is Elon selling TSLA shares again at lowest ever forward P/E (29x) before the 4Q TSLA trading window shuts on Friday?” “Absurd, but not impossible.”
The typical daily trade volume is 82M, but by 12:30 PM ET today, it had already surpassed 100M.
Investors in Tesla were ready to share their view that Twitter (TWTR) is a diversion from the company’s efforts to become a “technoking” leader in the automotive industry. On Tuesday, The Wall Street Journal highlighted the rising discontent among investors.
Musk has tweeted that “the teams [at SpaceX (SPACE) and Tesla] are so excellent that frequently little is required” from him, implying that he is not actively involved in day-to-day operations at the automobile. Investors, however, are becoming more uneasy with this trend. Many of Musk’s most ardent supporters expressed disappointment at the diversion on Tuesday.
Poor Tesla, Gerber says, since its CEO is “lost on a bluebird to hell.” CEO of Kawasaki, Ross Gerber, made some remarks on Tuesday. If Tesla’s board of directors (BOD) issued a public statement on the company’s top management, someone must take over as temporary CEO. The stock market drop would soon stop. It is that easy.
Featured Image: Pexels @ SCREEN POST
Author Shariq Khan 
