4 ms·
Pump and dump scheme?
by mmmm2 11mo ago
Pump and dump scheme?
- eru 11mo agoWhat evidence is there for the 'dump' part? Mr Musk is a strange fellow indeed, but he's not guilty of all the vices and sins. Just plenty enough of them.
- mannykannot 11mo agoThat’s a fair point, but a combination of “fake it ‘til you make it” together with extracting massive “compensation” before you actually make it amounts to pretty much the same thing.
- eru 11mo agoHow is it the 'same thing'? Especially if he gets his comp largely in the same supposedly overvalued stock?
- _heimdall 11mo agoHow is that different from any other CEO, especially of publicly traded companies? CEOs are constantly making claims and promises that are aspirational at best, their compensation isn't held until all promises are reached.
- deleted 11mo ago[deleted]
- nurettin 11mo agohttps://www.forbes.com/sites/antoniopequenoiv/2024/05/31/tesla-investor-accuses-elon-musk-of-75-billion-of-insider-trades/ https://www.forbes.com/sites/antoniopequenoiv/2024/05/31/tes... > Musk sold 19.5 million Tesla shares worth about $3.95 billion in November 2022 I mean sure it is his to sell, but how is that different?
- spullara 11mo agoThat was to buy Twitter.
- pastel8739 11mo agoDoes using the money from the dump to do something else make it no longer a dump?
- eru 11mo agoI'm fairly sure this was not a pump-and-dump. My evidence is that in America people sue for these things left and right all the time. It's a popular pastime for lawyers to get a class action lawsuit for securities fraud together. But as far as I can tell, Musk / Tesla weren't convicted of these things in conjunction with the sale of Tesla stock to buy Twitter.
- jacquesm 11mo agoThere is a meme for this kind of move. It's pump and dump because it isn't worth what the underlying assets are worth and because there is a sale. Whether people sue for it and whether or not they were convicted is immaterial.
- ekianjo 11mo agoYou know that's the timeframe of the Twitter acquisition right?
- _heimdall 11mo agoSo is your issue here that a CEO makes public claims if his company that may be predictions or aspirations for the future, then sells shares he owns in the company to buy another company?
- nurettin 11mo agoExactly my issue. The same way scams are "predictions and future aspirations".
- godelski 11mo agoI'd say more in Doge and Bitcoin but you could argue with his stocks even though they're announced/scheduled.
- eru 11mo agoAs Matt Levine points out, Musk does plenty of crypto price moving with his tweets, but he doesn't seem to trade on them.
- godelski 11mo agoDo you have evidence on this? Seems like it would be fairly difficult to track. Have people been able to associate his wallets with him? Maybe I'm misremembering but I seem to recall him (Tesla?) selling a bunch of doge and bitcoin after months of pumping despite some big drops between.
- ben_w 11mo agoIIRC, back in 2022 or so he'd made about as much selling TSLA shares as Tesla Inc. has made lifetime profits selling cars. Tesla's profits have been positive since then, so this may no longer be the case, but still, that's a very iffy state of affairs.
- _heimdall 11mo agoThat's more a sign of how poorly investors in the stock market today understand fundamentals, or how little they regard fundamentals.
- stanac 11mo agoIt's not the usual type of 'dump', but he will probably again request massive bonus or threaten to leave. And his statements are the key for pumping part.
- tecleandor 11mo agoHe might be pumping until his potential trillion USD bonus :P
- smileson2 11mo agohis family is going to need it, the guy is the modern genghis khan in a generation or two a good portion of humanity will be a descendant of his
- tecleandor 10mo agoAt the current growth rate, they'll be 2.5Billion in just 8 generations...
- mahkeiro 11mo agoHe has been selling a lot of Tesla stocks through the life of the company (not that it matters to him as other shareholders are giving him load of free shares all the time).