Investor's Corner

Tesla surges to $1T valuation once again following Musk’s near-10% selloff

(Credit: Gabeincal)

Tesla (NASDAQ: TSLA) has rebounded from a slight pullback earlier this week on the stock market to regain its status as a trillion-dollar company. Shares closed at $1,008.87, up 7.49%, on Wednesday.

Shares surged during Wednesday trading hours based on Musk’s comments, which seemed to entail that the CEO’s selloff of Tesla stock may be coming to a close soon. In November, Musk Tweeted a poll to his massive Twitter following with a question: Should the Tesla frontman sell 10% of his holdings to cover capital gains. Musk agreed to honor the results of the poll, which over 57% of respondents voted “Yes” on.

Now Musk’s stock sale seems to be ending. On a podcast with The Babylon Bee, the CEO said, “I sold enough stock to get to around 10% plus the option exercise stuff, and I tried to be extremely literal here.”

Tesla’s Elon Musk announces he’s offloaded enough TSLA stock, critiques CA’s “overtaxation”

Tesla stock pulled back from its trillion-dollar valuation following Musk’s first stock sale, but it was brief as the company rebounded and remained relatively steady despite initial drop-offs. Within two weeks of the stock sale beginning, which was confirmed by filings with the SEC on November 10, Tesla shares were trading at levels similar to the first trading day after Musk’s Tweet, which was published on a weekend.

However, Tesla shares have dropped over 13% in the past 30 days, and the automaker’s stock is steadily beginning to rebound back to normal trading levels. Tesla has regained its trillion-dollar valuation officially.

As far as Musk’s stock sale goes, there is no indication that it is over. Instead, Musk’s words on the podcast have indicated that he has sold enough stock to reach the 10% threshold that he outlined during his Twitter poll. Musk’s appearance on the podcast was several days ago, and Tesla had already submitted additional filings with the SEC after the podcast was recorded, meaning Musk was still selling holdings after the podcast was released.

Musk’s full interview with The Babylon Bee is available below.

Disclosure: Joey Klender is a TSLA Shareholder.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at [email protected]. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at [email protected].

Tesla surges to $1T valuation once again following Musk’s near-10% selloff
-->
To Top