TECH - What's Really Behind Tesla Stock Weakness: Musk-Induced 'Twitter Hangover' Or EV Bubble Popping? Analyst Says 'Don't Let Anybody Fool You...' | Benzinga
Tesla, Inc. (NASDAQ:TSLA) stock’s weakness could be in part attributed to Elon Musk’s purchase of social-media platform Twitter, which he has since then renamed as X, said Tesla investor and Future Fund Managing Partner Gary Black.
Did Twitter Hurt Tesla? Tesla has by far been the worst-performing “Magnificent Seven” stock since Musk announced his intention to buy Twitter in April 2022, Black noted. Magnificent Seven is the collective name given to seven mega-cap U.S. tech stocks.
uberbulls won't admit it but my liberal use of the phrase "Twitter overhang" proved highly accurate to describe the negative TSLA stock action in 2022/4Q (TSLA -55% vs NDX flat) as Elon was forced to sell $ billions of TSLA shares to pay for Twitter. — Gary Black (@garyblack00) November 26, 2023
Now bears…
“Don't let anyone fool you that stock has done well since Elon announced he would acquire Twitter in April 2022,” Black said.
From trading around $328 ahead of the announcement, the stock has pulled back and is currently trading around $235, he noted. As opposed to Tesla’s 28% decline over the period, the Nasdaq 100 Index has risen 15%, he ...