Elon Musk's recent announcement to form a political party has negatively impacted Tesla's stock, causing a nearly seven percent decline that erased over $68 billion in market capitalization. Short sellers capitalized on this situation, netting approximately $1.4 billion in profits. Investors are increasingly frustrated with Musk's management approach, which they believe undermines Tesla's success. The company's financial challenges are compounded by a failed robotaxi service launch and deteriorating sales, resulting in short sellers profiting $11.5 billion so far this year.
Tesla's shares slumped nearly seven percent on Monday, wiping out more than $68 billion in market cap after CEO Elon Musk announced a new political party.
Short sellers profited roughly $1.4 billion as Musk’s political ambitions and absence of leadership have left a massive hole in Tesla's finances.
Musk's decree to launch an 'America Party' triggered a plunge of Tesla’s shares, leading to a $4 billion profit for short sellers on June 5.
Technical difficulties with the anticipated robotaxi service have added to Tesla's declining sales and extreme financial woes, with short sellers earning $11.5 billion in profits.
Collection
[
|
...
]