CEO Elon Musk has said he won’t sell any more Tesla shares for 18 months or more, likely an attempt to comfort shareholders of the electric vehicle company who have seen the stock lose nearly half its value since Musk bought Twitter. October.
“I’m not selling any stocks for 18 to 24 months,” Musk said in an audio-only Twitter Spaces group chat on Thursday. Musk then said he would not sell Tesla shares for two years, but backtracked and said he would suspend sales for at least a year.
Musk sold another $2.58 billion worth of Tesla stock last week and has sold nearly $23 billion worth of shares in his automaker since April, when he started building a position on Twitter. A significant portion of that revenue went to fund its $44 billion acquisition of the social media company, which has been marred by chaos since Musk took over.
In less than two months, Musk has presided over a dizzying series of changes that have baffled advertisers and put off users. It laid off half the workforce, removed contracted content moderators, and disbanded a board of trust and safety advisors. He dropped enforcement of COVID-19 misinformation rules and called for criminal prosecution of Dr. Anthony Fauci, America’s top infectious disease expert.
Tesla investors have grown tired of the 24/7 Twitter chaos that they say has distracted the eccentric CEO of the electric car company, his main source of wealth.
Tesla’s market value topped $1.1 trillion on April 1, the last trading day before Musk revealed he was buying Twitter stock. The company has since lost nearly two-thirds of its value, at a time when rival automakers are reducing Tesla’s dominant share of electric vehicle sales.
Shares of Tesla fell more than 1% on Friday, to $123.74. They cost over $360 each on April 1 and reached an all-time high of over $414 in November 2021.
This week, Tesla increased the discounts it is offering through the end of the year on its two best-selling models, an indication that demand is slowing for its electric vehicles.
The Austin, Texas-based company began offering a $3,750 rebate on its Model 3 sedan and Model Y SUV on its website earlier this month, but Wednesday doubled the rebate to $7,500 for those who take delivery by December 31.
This story corrects Tesla’s all-time high year to 2021, not 2020.
The Huffington Gt