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Clearly he's having a lot of fun and saying wierd things - which is fine. But the Tesla statement is way crazier than the rest because it's a material statemen
by jariel 7y ago
Clearly he's having a lot of fun and saying wierd things - which is fine.
But the Tesla statement is way crazier than the rest because it's a material statement about the potential future earnings of the company.
Musk is a 'deep insider' who knows 'everything' about the company. When he says 'the stock is overvalued' - what does that really mean?
Did Tesla just lose a huge market? Was there a big accident we don't know about? Is there some huge hidden liability? Are sales forecasts way down? Did a deal fall through? Are they getting sued?
He's the CEO so those statements really matter.
I think we can give him a lot of leeway and expect that he say some funny things.
But when people give him billions of dollars ... he can't mess around with that, it's irresponsible. Especially since he's already in trouble with the SEC. It eats away at his credibility.
- sneak 7y ago> But the Tesla statement is way crazier than the rest because it's a material statement about the potential future earnings of the company. The tweet does not say anything material about earnings past, present, or future. Your statement is a false one.
- jariel 7y agoValuation is a function of future earnings. Saying something about the 'stock price' is 100% saying something about the financial situation of the company.