Letters to the Editor: Elon Musk runs Twitter. You don’t like that. So ignore Twitter. Here’s another idea: Let Elon work for you. That way, he can get back to Tesla and the Model 3. You’d be helping him, and you’d be helping Tesla.
Why it’s smart to be a Tesla shareholder
By Dan D’Ambrosio
Tesla shareholders should consider what the company is doing and how shareholders are being served.
This week’s shareholder letter from CEO Elon Musk raises some valid points. We have a shareholder who’s saying good-bye to a shareholder who’s saying good-bye to Tesla. It’s been a tough week for Tesla on Wall Street. The company’s stock price is being wiped out, after weeks of being up.
But here’s the thing: Shareholders who sell at the right time get the best deal. In the case of an established company with a long and honorable history, a short sale will wipe out a company’s stock price. It’s that simple.
The only thing that could have made Musk’s letter more damaging to Tesla was if he actually followed through by doing what shareholders asked of him: sell Tesla to somebody who will buy it for more than Tesla is selling it today. That would be an investment in the right direction that would actually benefit shareholders. Yet Tesla’s stock price has been on a precipitous decline; shares closed on Thursday at $290.
Tesla shares started the week at $260, and they’ve been down more than 50% since Thursday. But the company is now trading below its $290 level and has been for weeks.
It’s been a tough week for shareholders. But it’s hard to disagree with the shareholders who are saying good-bye to their original short sellers; it’s a good thing they’ve exited the short side.
Some of these shareholders who