Tesla stock

By Will Feuer Shares of Tesla Inc. rose almost 3% in premarket trading after the stock sold off in Tuesday trading. The stock fell more than 12% on Tuesday, ...

For more than a dozen years, he has led Tesla and rocket-and-satellite company Space Exploration Technologies Corp. in addition to launching startups on the side. Mr. Musk also needs $21 billion in cash, which could mean selling some of his Tesla holdings, to close the deal. Roughly $60 billion of Mr. Musk's Tesla stock, about a third of his holdings, is collateral for bank loans in the deal.

Investors have wiped $126bn (£100bn) off Tesla's value amid concern that Elon Musk may have to sell shares in the electric carmaker to fund his personal ...

He had already borrowed against about half of his Tesla shares. Twitter’s shares also slid on Tuesday, falling 3.9% to close at $49.68, even though Musk agreed to buy it on Monday for $54.20 a share in cash. The share fall also took place against a backdrop of difficult trading for tech stocks.

Investors fear that Musk will sell some of his Tesla stock to finance the $21 billion he needs to secure his buyout of Twitter.

Tesla even forewarned earlier this year that its stock price would suffer if Musk sold its shares as collateral. Since then, Tesla's stock dipped several times before Tuesday's sell-off, resulting in a total 23% drop — or $275 billion — in the EV maker's share value this month. According to multiple media outlets, the pressure on Tesla's stock largely stems from concerns over how Musk is financing his Twitter takeover.

Tesla is highly traded, and Elon Musk's sale of more than $16 billion worth of stock last year did not appear to push share prices lower.

A lot about Mr. Musk’s plan to buy Twitter is unknown, including how involved he would be. Among those who believe in Tesla’s valuation, which is much higher than rival automakers’ relative to the size of its operations, a lot of the argument depends on Mr. Musk’s stewardship. Even Tesla acknowledges this, stating as a risk in its most recent quarterly report: “We are highly dependent on the services of Elon Musk, techno-king of Tesla and our chief executive officer. Tesla is a component in both the S&P 500 and the Nasdaq composite index. But in the past six months, Tesla shares have twice fallen nearly 12 percent, on Nov. 9 and Jan. 27. Its stock’s drop of 3.7 percent on Tuesday contributed more to the overall index’s decline. Such sales would have to be reported to the Securities and Exchange Commission, but those reports are not instantaneous. He would need to sell nearly 24 million shares at Tuesday’s price to generate $21 billion in cash. Mr. Musk’s financing package for Twitter also includes $12.5 billion in loans using his Tesla shares as collateral. Tesla’s shares have lost about 20 percent of their value since Mr. Musk first revealed that he had bought a big stake in Twitter, kicking off takeover speculation. Even for Mr. Musk, who is worth well north of $200 billion, that’s a lot of cash to come up with. Given Tesla’s enormous market capitalization and its inclusion in major stock indexes, almost everybody with a 401(k) probably owns some Tesla stock.

EV competition is heating up, but Tesla is well-positioned. Tesla (TSLA -12.18%) is one of those stocks that's pretty divisive in the investing world.

It just needs to continue growing right along with the expanding EV market as it's already doing. Sure, traditional automakers who are building EVs will challenge Tesla. But the company's expansion of factories should help it with that. That figure may still be small when compared to production numbers of traditional automakers, but if you compare it to other EV-specific brands, it's actually quite good. Case in point is the company's recent vehicle production figures. But one thing you can't deny is that the company's stock has been massively successful. Tesla ( TSLA 2.97%) is one of those stocks that's pretty divisive in the investing world.

Tesla shares have been down since CEO Elon Musk won the $44 billion Twitter deal, dropping 12% on April 26. The drop reflects investors' worries, ...

“The Twitter deal brings another X variable into the mix for Musk which will be a concern for investors until they are proven otherwise,” Ives wrote. It also spurred volatility in shares of both Twitter and Tesla. Year-to-date, the stock is down 27%, although it is up slightly in pre-market trading so far today.

Investors appear to be a bit less concerned about what Elon Musk's purchase of Twitter will mean for the EV company.

Musk is clearly committed to the EV company, and even as he's put time into launching and managing other businesses, Tesla has still grown at a rapid pace. Wedbush analyst Daniel Ives highlighted this issue in an investor note Wednesday, and said that the Twitter transaction "was never ideal" for Tesla investors. After a massive 12% sell-off Tuesday, shares of leading electric vehicle maker Tesla ( TSLA 2.42%) were slightly rebounding Wednesday morning.

A U.S. judge slammed Elon Musk on Wednesday for trying to escape a settlement with regulators requiring oversight of his Tesla Inc tweets, saying the ...

"If people want less free speech, they will ask government to pass laws to that effect. The SEC has subpoenaed Musk and Tesla to determine if those tweets were vetted before they were published. Musk has since sold more than $16 billion of Tesla stock. The consent decree also required Musk to obtain pre-clearance from Tesla lawyers for tweets and other public statements that could be material to Tesla. Tesla shares rose following the tweet. Register now for FREE unlimited access to Reuters.com

By Will Feuer Shares of Tesla Inc. rose almost 3% in premarket trading after the stock sold off in Tuesday trading. The stock fell more than 12% on Tuesday, ...

For more than a dozen years, he has led Tesla and rocket-and-satellite company Space Exploration Technologies Corp. in addition to launching startups on the side. Mr. Musk also needs $21 billion in cash, which could mean selling some of his Tesla holdings, to close the deal. Roughly $60 billion of Mr. Musk's Tesla stock, about a third of his holdings, is collateral for bank loans in the deal.

Tesla Inc. shares undefined were up 0.9% in premarket trade Wednesday, after falling 12.8% on Tuesday to shed a stunning $125.98 billion in market cap. The.

Still, "While the Tesla story is not impacted, Musk is the hearts and lungs of the Tesla story and the Twitter saga now unfortunately becomes an overhang for Tesla shares in the near-term. Ives said the potential for Musk to be distracted by the Twitter deal and pulled in too many directions is less of a worry for him, as he doubts Musk will be CEO but rather chairman with less time pressures. "Naturally this has put a black cloud over Tesla's stock in the near-term as the Twitter financing component for Musk is now front and center for the bears."

Tesla Inc. stock rises nearly 3% on Wednesday, taking some of the sting out of a 12.8% decline on Tuesday that led the EV maker to shed $126 billion in...

“While the Tesla story is not impacted, Musk is the hearts and lungs of the Tesla story and the Twitter saga now unfortunately becomes an overhang for Tesla shares in the near-term,” the analyst said. “Combining this dynamic with the debt taken on as part of the Twitter transition, now a good portion of Musk’s Tesla shares will be spoken for/used as collateral for this deal which is putting near-term pressure on the stock,” the analyst said. The equity commitment “will result in some piece of Musk’s Tesla ownership being sold over the coming year even though a core piece of this financing is likely held as collateral and not actually sold in the transaction,” Ives said.

CEO of Tesla Motors Elon Musk. Suzanne Cordeiro/AFP via Getty Images. Tesla and Twitter stocks are linked, for at least a little while, as investors ...

Figuring out the deal spread between Tesla and Twitter (TWTR) stock isn’t easy, but Barron’s has an idea of how to frame this unconventional deal. The linkage might irritate Tesla (ticker: TSLA) shareholders, but there isn’t a lot they can do but wait for more details to emerge. Tesla and Twitter stocks are linked, for at least a little while, as investors wonder how Tesla CEO Elon Musk will fund the equity portion of his deal for the social media company.

Elon Musk's $44 billion deal to acquire Twitter hinges on the stability of Tesla's stock price. Musk has put up Tesla shares for collateral and is ...

And if Musk does close his deal for Twitter, the Tesla CEO will have to contend with annual interest payments of about $1 billion. Near current prices, Musk has about $12 billion in unpledged Tesla shares that he can use to add to the Twitter deal. That's in addition to the more than $20 billion of his own money he has committed.

MORE than $125 billion (£99bn) was wiped off the stock market value of electric car giant Tesla overnight amid concerns that boss Elon Musk may…

“A $1bn (£789 million) break fee might in the end less painful.” Certainly a $21bn (£17bn) cheque is a lot even for him to write,” he said. It is understood that Musk may seek to bring on board other investors to help fund the deal rather than risk destabilising the car maker’s stock, which may also put the wider Twitter deal at risk.

Investors appear to be a bit less concerned about what Elon Musk's purchase of Twitter will mean for the EV company.

Musk is clearly committed to the EV company, and even as he's put time into launching and managing other businesses, Tesla has still grown at a rapid pace. Wedbush analyst Daniel Ives highlighted this issue in an investor note Wednesday, and said that the Twitter transaction "was never ideal" for Tesla investors. After a massive 12% sell-off Tuesday, shares of leading electric vehicle maker Tesla (NASDAQ: TSLA) were slightly rebounding Wednesday morning.