Tesla is on track for its worst year ever, with the electric car maker’s share price dropping 70 percent over the past 13 months.
Tesla investors seem tired of the Twitter anarchy around the clock since Elon Musk bought the company earlier this year.
They claim that the acquisition and subsequent chaos that led to Musk taking a hands-on approach to running the social network distracted him from running the leading electric car company, and seriously damaged its finances.
Tesla share price reached an all-time high of more than $414 in November 2021. It has since fallen 70 percent to $123.15 as of Friday with shares down another 1 percent.
Shares held high at $380 through April 1, the last trading day before Musk revealed he was buying Twitter shares.
Elon Musk has seen $122 billion of his fortune lost in the past 12 months
Tesla shares are down 69% for the year, which could mark their worst annual performance since going public in 2010.
The company has since lost nearly two-thirds of its value, at a time when rival automakers have been cutting Tesla’s dominant share of electric vehicle sales.
Tesla shares are down 69 percent for the year, in what could be their worst annual performance since going public in 2010 as investors fret that Twitter is taking up too much of the billionaire’s time.
This week, Tesla ramped up the discounts it offers on its two best-selling models, a clear sign of slowing demand for its electric cars.
The Texas company started offering a $3,750 incentive on its Model 3 sedan and Model Y SUV on its website earlier this month, but on Wednesday it doubled the discount to $7,500 for those who pick up between now and December 31.
The rare cuts follow a series of price increases over the past two years by Tesla, which it blamed on supply chain disruptions and inflation.
“This is a sign of gaps in demand and not a good sign for Tesla at the end of the year,” said Dan Ives, an analyst at Wedbush. EV [electric vehicle] Competition is increasing across the board, and Tesla is seeing some demand headwinds.
Musk dumped $2.58 billion worth of Tesla shares last week and has sold nearly $23 billion of his car company’s stock since April, when he began building a position in Twitter.
Tesla is facing its worst year ever, with its share price down 70% over the past 13 months
The Model Y SUV, one of Tesla’s best-selling cars, is being offered at a deep discount until the end of 2021
Tesla’s share price fell off a cliff after the company cut prices in the US again
Much of that proceeds has gone to help fund his $44 billion acquisition of the social media company, which has been a mess since he took over.
Hundreds of billions of dollars have been written off from the value of his 13.42 percent stake — and he’s no longer the richest man in the world.
Hundreds of billions of dollars were written off from the value of his 13.42 percent stake – and he was no longer the richest man in the world.
Tesla’s sell-off came as global markets sank into the red as hopes for a Santa Claus pre-Christmas rally faded.
Musk said on Friday that he would not sell any more shares in Tesla for 18 months or longer in an apparent effort to calm shareholders who have watched the stock lose nearly half of its value since buying the Twitter CEO in October.
“I will not sell any stock for the next 18 to 24 months,” Musk said during an audio-only group chat on Twitter Spaces.
In regards to Musk’s involvement with Twitter, it has already been suggested that he only intends to lead the company temporarily, and last month he told the court that he intends to find someone else to do the top job.
Warning that Twitter has been “on a fast lane to bankruptcy since May,” he tweeted: “The question is not finding a CEO, the question is finding a CEO who can keep Twitter alive.”
Tesla investors appear fed up with the 24-hour Twitter anarchy that they say distracted eccentric CEO Elon Musk from the electric car company, which was the main source of his wealth.
His short time in charge has been mired in controversy, including firing half of the company’s employees and allowing banned users like Donald Trump to return to the site.
The recent uproar has come about banning users from promoting links to other social media platforms, such as Facebook and Instagram. Within 24 hours, Musk reversed the decision and apologized, saying that any “significant policy changes” would be put to a public vote going forward.
The first of these appeared to be asking his 122 million followers last Sunday if he should step down as CEO.
When it became clear where the poll was headed, Musk tweeted: “As the saying goes, be careful what you want, you might get it. Those who want power are the ones who don’t deserve it.
The Tesla and SpaceX mogul has obeyed Twitter polls in the past and is fond of quoting the Latin phrase “vox populi, vox dei,” Latin for “the voice of the people is the voice of God.”
The survey came a week after Musk fell to second place on the Forbes list of the world’s richest people, as Tesla’s share price continued to decline.
The end of the assembly line where Tesla Motors quality control inspection takes place at California’s only large-scale auto manufacturing plant
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