Tesla loses $ 13 billion in market value after CEO Elon Musk’s share price is too high

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Tesla shares fell 9% on Friday after CEO Elon Musk tweeted that the automaker’s top-flight stock was too expensive.

“Tesla’s share price is too high,” Musk said on Twitter in one of several unusual messages, including those citing parts of the American national anthem and that he would sell almost all of his physical assets.

The ensuing decline in stocks wiped out about $ 13 billion from Tesla’s market value and nearly $ 3 billion from the value of Musk’s stake. However, stocks are still up almost 50% from the start of April.

More than two hours after the tweets started, Tesla did not respond to requests for comment. Twitter declined to comment.

The Wall Street Journal reported that Musk responded to an email asking him if he was kidding or if his tweet was verified saying “No”.

Musk is in the habit of sending out provocative tweets. In August 2018, he tweeted that he had secured funding to possibly buy Tesla at a high price, which led to a fraud case by the U.S. Securities and Exchange Commission.

Musk settled in by agreeing to pay US $ 20 million and have Tesla’s lawyer pre-screen tweets containing important information about the company.



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