Well, he blamed advertisers leaving over the instability of the platform on "activists", so...I'd say we're already 90% of the way there. Not to mention his tweet today that "independents should vote for Republicans", which is a patently crazy thing for a tech CEO to say.
He also started unblocking himself on users' accounts. A few friends of mine have complained today that they started seeing his tweets again, despite having him blocked since 2017, and it seems to be a common occurrence. I wonder what the people that are implementing this stuff are thinking, must hurt undermining the platform you've built - at least I hope they're being paid well.
TSLA is a car company does that count as a "tech" company? the only growth in the car market is from canabilizing other companies market share, which of course happens, but all electric cars are essentially the same like cell phones, and the differences are marketing differnces. TSLA may or may not expect "growth" multiples fighting for low double digit market share in a shrinking market.
What surprises me about this, given the sell pressure of the self-inflicted pain from Musk, is that Tesla is down sure, but not by that much. I guess the issue is it's behaving like a tech stock, but it's not. It's a car company that used to employ a guy who said he could deliver self-driving.
I'd argue the "it's a tech stock" vs "It's a car stock" is more an investor sentiment thing, with no hard rules for Tesla.
I also think aggregate investor sentiment has treated TSLA as more of a tech company in the past.
Where TSLA sits on the Car/Tech spectrum seems to me to be changing as a result of a few things:
1. Failures of self driving.
2. More traditional car companies going electric.
3. EV no longer seems like such a disruptive technology.
It's an interesting change because investor expectations of the stock are going to change as well.
My gut feeling is that those changing expectations will hurt TSLA stock even more because comparing TSLA to other car companies on traditional metrics for car company success(Volume, defects per vehicle, etc) is going to be bad for TSLA.
I agree with your gut feeling, mainly because even after a 50% drop it is still worth way more than the next few car companies combined while there's a fraction of the sales. Until recently there's been a strong belief that Tesla is permanently only supply constrained and as they get more factories online they will always be able to sell everything they make at huge margins.
I think the recent selloff is a result of people questioning that as Musk alienates future customers and other car companies embrace BEVs. There's still a very long way to go for Tesla to be priced like it's competitors, but I that will happen eventually.
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[ 2.4 ms ] story [ 60.5 ms ] threadOh no way
I thought it was basically a blood bath for all tech/growth stocks.
APPL:-23% META:-71% MSFT: 31% NFLX:-56%
Car companies:
F: -37% TM: -26% GM: -35%
What surprises me about this, given the sell pressure of the self-inflicted pain from Musk, is that Tesla is down sure, but not by that much. I guess the issue is it's behaving like a tech stock, but it's not. It's a car company that used to employ a guy who said he could deliver self-driving.
I also think aggregate investor sentiment has treated TSLA as more of a tech company in the past.
Where TSLA sits on the Car/Tech spectrum seems to me to be changing as a result of a few things:
1. Failures of self driving.
2. More traditional car companies going electric.
3. EV no longer seems like such a disruptive technology.
It's an interesting change because investor expectations of the stock are going to change as well.
My gut feeling is that those changing expectations will hurt TSLA stock even more because comparing TSLA to other car companies on traditional metrics for car company success(Volume, defects per vehicle, etc) is going to be bad for TSLA.
I think the recent selloff is a result of people questioning that as Musk alienates future customers and other car companies embrace BEVs. There's still a very long way to go for Tesla to be priced like it's competitors, but I that will happen eventually.