In one year, Tesla shares have lost nearly 73% of their value. Elon Musk’s kind response to Dimitri Medvedev, the former president of Russia, was the last straw for thousands of investors who couldn’t stand the billionaire’s slippages.
Could we lose tens of billions in one tweet? Elon Musk just proved it.
While the economic health of Tesla worries the financial world, wondering if Elon Musk is the right person to drive the electric car star, the interested party saw fit to respond to tweets from Dimitri Medvedev, the current deputy chairman of Russia’s Security Council and Putin’s right-hand man, to tell him that he found his tweets “epic”.
Four hours later, Elon Musk clarified that in fact he had a paradox, and that he did not believe all the predictions of the Russian statesman (who predicted the return of the United Kingdom to the EU, the collapse of Europe, a war . between France and a “4th Reich”, as well as a civil war in the United States, that’s all).
This new deviation from Elon Musk caused Tesla stock to lose 11.41% of its value on December 28.
Elon Musk is ruining everything
Visiting Elon Musk’s Twitter is a funny experience. While Tesla shares fell (from 399.93 dollars to 109.10 dollars in a year, a decrease of 72.72%), the billionaire seems to be only interested in ideological battles. Some of his tweets are about the economic situation of his companies, and they are usually overwhelmed by Democrats or the media. Instead, Elon Musk prefers to denounce the defenders of the Covid-19 vaccine, the “woke”, the pro-LGBT, the media that will become machines for the creation of lies, the government of Joe Biden, leftists and undervalued people. his humor.
Of course, keep in mind that the drop in Tesla stock wasn’t 100% due to the billionaire’s tweets. The global economic context is not in anyone’s favor and has played out with Tesla anyway. At the same time, some analysts are also alarmed about the risk of seeing orders fall and seeing factories put on hold. Either way, Elon Musk isn’t really helping his business.
For Elon Musk, it’s all about the culture war. The billionaire, who, less than a year ago, was one of the most respected people on the planet, no longer gives any room for nuance and divides the world into two categories: those who agree with him and. .. the leftists. How not to see a big mess? Elon Musk, although controversial for a few years, wasn’t very divisive before embarking on the Twitter takeover.
This is not the first time that his ties to Russia have been pointed out. Elon Musk was accused of talking to Putin after the war began and had previously spoken publicly with Medvedev.
Can Elon Musk be fired from Tesla?
Elon Musk has another problem: his entourage. As revealed by his private text messages during his lawsuit against Twitter, Elon Musk seems to be surrounded only by people who tweet like him, constantly encouraging him and publicly insulting his critics. Is it necessarily bad? While most people generally share values with those they are close to, Elon Musk’s responses show that the people he interacts with are more interested, even highly detached, than encouraged. The bubble in which the entrepreneur has enclosed himself shrinks even further and, without him realizing it, separates him. The billionaire is playing a very dangerous game, which we hope he can get away with without doing too much damage.
On Tesla’s side, what could be the outcome of this fall? As some investors point out, Elon Musk sold tens of billions of dollars worth of Tesla shares at peak time, as if he anticipated this reevaluation? Some are starting to want him gone, while others are still defending him. The problem is that Tesla is becoming too volatile and Elon Musk could lose control if he is not careful. A fortune à la Steve Jobs, fired from the Apple he himself created, became possible.
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