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Whats Got us Talking

Damn Elon, back at it again with the crazy tweets

Image result for tesla logo

Elon seems to be a 420 fan, and we’re not talking weed.

 


Feels like Tesla gets talked about a lot on this site, but that’s probably because CEO Elon Musk always manages to stir up conversation about his electric car company. Yesterday was no different when Elon Musk tweeted out his desire to take Tesla private.

Elon’s $420/per share price target, not only a stoner’s favourite number, also represents a 10.65% price increase from Tesla’s $379.57 close on Tuesday. This would place Tesla at a market capitalization of $71.3 billion. After Elon’s tweet yesterday Tesla surged 11.05% before close, representing a $6.4 billion increase in market capitalization for the car maker. However this boost was not solely due to Elon’s tweet.

Here’s what happened:

    • The Financial Times reported approximately 30 minutes earlier that the Saudi Sovereign wealth fund now holds a 5% stake in Tesla. This stake is said to be worth 2 billion. Elon Musk tweets about company going private. “Funding Secured”

 

 

 

  • Elon Tweets that all shareholders may keep their stake in the company
    • Tesla Trading is halted for almost two hours Elon says in blog post that decision is dependent on shareholder vote. Also stated: “[Elon] own about 20% of the company now, and I don’t envision that being substantially different after any deal is completed.”

 

  • Elon tweets:

 

 

 

 

  • Shares close at $379.57, up 10.34% from monday’s close.

We’re excited to see what’s next for Tesla. Do you think taking Tesla private is a good move? Let us know down in the comments.
Check out our previous Tesla article here.