HOW MUCH IS THAT?
10% for a company that is worth $140 billion, it means that the stupid Tweet cost Tesla $14 billion.
WHY DID HE SAY THAT?
Well.. he just gave his opinion. Musk actually thinks the price of Tesla’s shares should be less, meaning they’re overvalued.
WHY WOULD TESLA BE OVERVALUED?
If people start buying a lot of shares, the share price will go up and up. This can lead to a bubble, as Tesla might not be worth that much $$.
ONLY HIS OPINION COSTED TESLA $14 BILLION?
Yes. What CEOs have to say about their company always matter. Think: if the CEO of a company says that the company is overvalued, who would want to invest in it?
THEN… WHY WOULD HE TWEET THAT?
Mm.. Really don’t know. But it’s not the first time that Musk’s Twitter activity has caused him problems. In 2018, Musk tweeted he had a deal to take the company private which, it later turned out, he did not. For that, he was fined $20 million.
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