Tesla's stock has taken a significant hit as a result of Elon Musk's shenanigans. According to Reuters, the electric vehicle (EV) maker lost $126 billion in value yesterday as investors worried Musk would liquidate his firm shares to cover the $21 billion equity commitment to his $44 billion Twitter takeover.
Musk did not reveal the source of funds that he used to
purchase Twitter. This sparked rumours that he had traded Tesla stock to fund
the purchase of the social networking company.
Tesla's stock dropped 12.2 percent, resulting in a $21
billion loss in Musk's shareholding in the firm. This is the same amount of
money he pledged to buy Twitter for $21 billion in cash.
However, it's worth noting that Tesla's share price has
fallen in lockstep with the price of a slew of other technology-related firms.
Investors' concerns about weak global growth have resulted in the Nasdaq
closing at its lowest level since December 2020, according to the article.
Despite Musk's cash purchase of Twitter for $54.20 a share,
the stock fell 3.9 percent to end at $49.68 on Tuesday. Experts believe that
the significant drop in Tesla's stock — Musk's principal source of income — may
prompt him to reconsider his Twitter purchase.
They also feel that, while Tesla is seeing record sales and
increasing demand for its electric vehicles in a variety of regions, the recent
drop in its stock price might be harmful to the firm and its investors.
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