Tesla investors plead to Elon Musk that he leave Twitter and focus back on the electric auto company, in ‘a show of disapproval for Elon’

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Tesla stock has been down due to Musk’s distraction with Twitter. Some prominent investors agree. Musk just sold $3.6 Billion in Tesla stock. Ross Gerber, an investor said that what they are getting is a vote against Elon.

Tesla investors want Elon Musk to get rid of his Twitter responsibilities so that they can refocus on Tesla’s electric car business.

Tesla shares are down 65% year-over-year, and Musk fans are tired of Musk’s chaotic social media forays.

Ross Gerber, the head of Gerber Kawasaki Wealth and Investment Management and a Tesla shareholder, stated during Tuesday’s Twitter Spaces talk that Musk’s involvement in Twitter is the sole reason for Tesla’s market woes.

Gerber stated that everyone knows why Tesla stock has fallen and that it has nothing to with the company. The company is doing well. The company is in the best possible environment. The government is about to give it a lot of incentives. The factories are expanding. There are new products being launched. One problem is that the CEO spends every day on Twitter discussing Hunter Biden’s problems.

Musk and Matt Taibbi, newsletter writers, have been closely working together over the past two weeks to publish what Musk called “The Twitter Files.” This is a collection of company email correspondence between employees and executives about content moderation decisions. Musk has begun to ban critics and journalists from the platform and continues to cut costs.

Musk continues to sell Tesla stock to pay for his new ownership of Twitter at $44 billion. Musk publicly stated that he would be selling his Tesla stake in April. He sold $3.6 billion more last week.

Gary Black, managing partner at The Future Fund, an investment firm that holds a stake in Tesla, stated during Tuesday’s Spaces event, “Elon selling has definitely killed the stock because he sells like that.” It was reckless before. Perhaps that’s a too strong word.

Gerber said, “It’s bizarre.” Black and Gerber both suggested that Musk might be selling Tesla stock in order to invest in Twitter. Black pointed out that Twitter “makes no money” and will probably never make it.

Gerber posted on Twitter, just before Spaces started on Tuesday afternoon that Tesla’s stock showed the company “having not a CEO.” Musk responded first with snark and then claimed that Tesla’s stock was dropping because of the increasing interest rates on personal savings accounts. This means people can choose to invest in riskier stocks over a bank guarantee return.

Black disavowed that argument and said that the best comparison to Tesla was the 10-year US Treasury bond yield. It has fallen sharply since October. This should make long-term stock investments like Tesla more appealing to investors. The stock continues to sink, with another 8% falling on Tuesday.

Gerber stated that the overall effect on Tesla’s stock price and the outcome of a poll Musk published on Saturday, which ended up telling Musk he should resign as CEO of Twitter, was clear.

Gerber stated, “What we are getting is a vote for no confidence in Elon.”

Gerber, who participated in an equity financing round in 2013 that was before Musk’s takeover, is also an investor in Twitter. He confirmed that he received an email last week from Twitter. It was sent to all investors in Musk’s Twitter takeover. It stated that the company was doing “another round” of fundraising and asked for investors to get in touch. He added that Twitter did not share any information about its financial status at the moment.

Black observed, “That’s strange.” “The financials look very different now.” Gerber stated that despite his reply to the fundraising email he has not received any follow-up communication from Musk’s team, or anyone on Twitter, about the new financing round.

Do you have insight to share as a Twitter employee? Kali Hays can be reached at khays@insider.com or via secure messaging app Signal (949-280-0267) or Twitter DM @hayskali. Reach out with a non-work device.

Business Insider has the original article.
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By: insider@insider.com (Kali Hays)
Title: Tesla investors plead with Elon Musk to leave Twitter and refocus on the electric car company in ‘a vote of no confidence in Elon’
Sourced From: www.businessinsider.com/elon-musk-tesla-investors-plead-leave-twitter-2022-12
Published Date: Wed, 21 Dec 2022 00:12:07 +0000