I don’t believe anything Elon Musk says, and I wouldn’t buy a car from him (new or used), own his stock, or work for him. He’s an untrustworthy manipulator.
So when I read today that Musk issued a public warning that Tesla might go bankrupt, the first question in my mind was, “what game is he playing?”
I don’t know, but one possibility is he wants to take Tesla private, and is trying to tank its stock so he can buy back the company on the cheap from the investors he sold stock shares to.
In any case, the stock market doesn’t appear to be buying the bankruptcy story. Tesla’s stock barely moved today.
Sure, Tesla faces real problems, like other automakers — and manufacturers in general, for that matter. Read about them here. Plus some extra ones stemming from its dependence for profits on China, where its plant is shut down because of Covid. But Tesla reported losses for years before it became profitable. And most analysts think it still is.
And, as CNN pointed out, Musk frequently uses hyperbole. I’m gonna file this story under “Kid Blowing Fire Engine Horn” unless the SEC opens a stock manipulation investigation.