New York: Tesla Inc. stock extended its recent selloff on Monday as investors reacted to CEO Elon muskHas a recent share sale of $6.9 billion, as well as his most recent tweet.
Tesla stock ended nearly 2% lower at $1,013.39 before Musk’s shares began selling last week, reducing the company’s market capitalization by about $207 billion.
The latest stock drop took place on Twitter with the world’s richest man Musk and . came after Sunday’s dispute between Bernie Sanders The US senator demanded that the wealthy pay their “fair share” of taxes.
During Monday’s session, Tesla traded as low as $978.60, pushing its stock market cap below the $1 trillion mark on an intraday basis for the second time in four sessions. Tesla first hit the $1 trillion mark late last month.
“Tesla shares are sinking after a sell-off based on a Twitter poll last week,” said Kunal Sawhney, CEO of equity research firm Calkin Group. But the pressure may increase.”
“By selling billions of dollars worth of shares, Elon Musk is likely to earn a tax bill of about $15 billion.”
Musk sold 6.36 million shares of Tesla after the idea was brought up in a Twitter poll last week. It would need to offload about 10 million more to meet its pledge to sell its 10% stake in the electric-vehicle maker.
Tesla’s stock has gained more than 140% over the past 12 months, fueled by Wall Street’s thirst for electric vehicle makers. The stock’s recent sell-off is at its lowest level since late October.
Also on Monday, Rivian Automotive jumped nearly 15%, with the Amazon.com-backed EV maker now up nearly 90% since its initial public offering last week.
Reflecting the enthusiasm of retail investors, Tesla and Rivian were the most-traded stocks on Fidelity’s online brokerage, with more than two buy orders for each sell order.
chip supply restrictions
Musk asked a Twitter user on Saturday to “not read too much” comments from PepsiCo CEO Ramon Laguarta, which expected the first deliveries of Tesla Semi trucks in the fourth quarter.
“As publicly noted, Tesla chip supply is short term and cell supply constrained long term,” Musk tweeted. “Unless both the constraints are removed, it is not possible to produce additional vehicles.”
Tesla has weathered the pandemic and the global supply-chain crisis better than rivals, posting record revenue for the fifth quarter in a row.
Meanwhile, investors Michael Bury “The Big Short” fame again took a jibe at Musk, tweeting, “@elonmusk borrowed against 88.3 million shares, sold all his mansions, moved to Texas, and is asking @BernieSanders if he needs more Must sell stock. He doesn’t need cash. . He just wants to sell $TSLA.”
Tesla stock ended nearly 2% lower at $1,013.39 before Musk’s shares began selling last week, reducing the company’s market capitalization by about $207 billion.
The latest stock drop took place on Twitter with the world’s richest man Musk and . came after Sunday’s dispute between Bernie Sanders The US senator demanded that the wealthy pay their “fair share” of taxes.
During Monday’s session, Tesla traded as low as $978.60, pushing its stock market cap below the $1 trillion mark on an intraday basis for the second time in four sessions. Tesla first hit the $1 trillion mark late last month.
“Tesla shares are sinking after a sell-off based on a Twitter poll last week,” said Kunal Sawhney, CEO of equity research firm Calkin Group. But the pressure may increase.”
“By selling billions of dollars worth of shares, Elon Musk is likely to earn a tax bill of about $15 billion.”
Musk sold 6.36 million shares of Tesla after the idea was brought up in a Twitter poll last week. It would need to offload about 10 million more to meet its pledge to sell its 10% stake in the electric-vehicle maker.
Tesla’s stock has gained more than 140% over the past 12 months, fueled by Wall Street’s thirst for electric vehicle makers. The stock’s recent sell-off is at its lowest level since late October.
Also on Monday, Rivian Automotive jumped nearly 15%, with the Amazon.com-backed EV maker now up nearly 90% since its initial public offering last week.
Reflecting the enthusiasm of retail investors, Tesla and Rivian were the most-traded stocks on Fidelity’s online brokerage, with more than two buy orders for each sell order.
chip supply restrictions
Musk asked a Twitter user on Saturday to “not read too much” comments from PepsiCo CEO Ramon Laguarta, which expected the first deliveries of Tesla Semi trucks in the fourth quarter.
“As publicly noted, Tesla chip supply is short term and cell supply constrained long term,” Musk tweeted. “Unless both the constraints are removed, it is not possible to produce additional vehicles.”
Tesla has weathered the pandemic and the global supply-chain crisis better than rivals, posting record revenue for the fifth quarter in a row.
Meanwhile, investors Michael Bury “The Big Short” fame again took a jibe at Musk, tweeting, “@elonmusk borrowed against 88.3 million shares, sold all his mansions, moved to Texas, and is asking @BernieSanders if he needs more Must sell stock. He doesn’t need cash. . He just wants to sell $TSLA.”
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