What isn’t helpful to a multi-billion dollar company is a CEO who spends the majority of his day trolling Twitter and shouting crazy social and political views. Tesla shareholders must be getting concerned about the mental state of their leader, and the safety record of their product,
Tesla’s shares have declined more than 40% since April 4, vaporizing more than $400 billion in stock market value — and Elon Musk has not helped by turning his bid to buy Twitter into a financial soap opera. https://t.co/jr5HyXfm6Y
— The New York Times (@nytimes) May 20, 2022
Although Tesla’s problems aren’t entirely based on Musk’s recent social media meltdowns and political ideology, neither have helped investors or shareholders feel all that confident. After a large round of recalls for 130,000 cars due to safety issues earlier in May and a new round of nearly half a million plague the company and their competition is better than ever. All of these issues are costing the company massive amounts of money.
According to The New York Times:
‘Tesla’s shares have declined more than 40 percent since April 4 — a much steeper fall than the broad market, vaporizing more than $400 billion in stock market value. And the tumble has called attention to the risks that the company faces. These include increasing competition, a dearth of new products, lawsuits accusing the company of racial discrimination and significant production problems at Tesla’s factory in Shanghai, which it uses to supply Asia and Europe.’
Twitter had a big reaction to the news of Tesla’s money problems, and none of them included any sympathy for their CEO. Read some of their comments below: