Tesla Stock Falls Over 11% , After Elon Musk Buys Twitter.
Tesla Stock Falls Over 11% , After Elon Musk Buys Twitter.
CNBC reports that just one day after Twitter's board approved Musk's $44 billion bid for the company.
Tesla stock dropped over 11%.
Since the bulk of Musk's wealth
is tied up in Tesla stock, .
it seems investors may be concerned he'll have to borrow against his holdings to fund the Twitter deal.
It would also add another detailed endeavor to his plate, possibly distracting him from his responsibilities at Tesla, which doesn't sit well with investors.
CNBC reports that once the deal closes, Musk will be the head of Tesla, SpaceX, Twitter,
the Boring Company and Neuralink. .
Still, Tesla reported in its first-quarter
2022 earnings that automotive revenue
was up 87% from the prior year.
CFO Zach Kirkhorn said that even though Tesla lost a month of "build volume" because of COVID shutdowns, .
“production is resuming at limited levels, and we’re working to get back to full production as quickly as possible.”