The wild and eccentric Elon Musk sparked a debate over Twitter once again; this time he wants to know if he should sell 10% of his Tesla (NASDAQ: TSLA) shares. Taking to the platform, the richest man in the world decided his followers should determine the outcome, by creating a ‘yes/no’ poll, and he will “abide by the results of this poll, whichever way it goes”
Well, with a 58/42 split in favor of ‘Yes’, it seems Musk will indeed be selling some stock. He made it clear he does not take any salary or other form of payment from Tesla, so it will provide him with the funds to pay his taxes.
Shares have taken a bit of a hit in the pre-market, down over 4% on Monday, November 8. Whether the share price can recover by the end of the day is still unknown. That being said, Tesla shares are up over 50% in the last month so investors shouldn’t be too worried.
With great genius comes… some responsibility
It’s not the first time the famed founder has sparked controversy on the platform. It’s well-known he’s a lover of all things memes, which is harmless enough, but other outbursts like announcing Tesla will be taken private at $420.00 haven’t helped his case in the past — in the short term at least.
With any investment, it’s always important to vet the management team, but you can’t always control their actions. There’s no doubt Musk has played a vital role in making Tesla the success it is today as it continuously scales production, so it just comes down to the opportunity cost. Sometimes, you just have to weigh up the pros and cons, and whether you can stomach the swings that come with the wild activity that comes with characters like Musk.
We’ll have to see if there’s any more backlash from the tweet in the days ahead but for now, Tesla maintains its leadership position in one of the hottest industries, even still, as more and more competitors enter the market.
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Financial Writer at MyWallSt
David's favorite stock is Google. He's a daily user of its YouTube platform, where you can learn or find something brand new at the touch of a button. He believes the company will continue to grow for many years to come.