News this week that Tesla, the crashing car EV company owned by right-wing anti-Semite Elon Musk, had suffered a significant 40% drop in earnings has led to a 12% drop in shares, translating to a wipe out of $80 billion in market value for Musk's company, CNN reports:
"Tesla’s stock suffered its worst day in 21 months and closed at its lowest level since December 2022. Since the start of 2024, the company’s market capitalization has fallen by $210 billion.
In an earnings presentation Wednesday, the world’s most valuable automaker said its sales growth this year 'may be notably lower' than last as it continued developing the 'next-generation' vehicle, likely a lower-priced model. [snip]
Dan Ives, an analyst with market research firm Wedbush, said Tesla’s earnings call provided investors with 'minimal answers' to the company’s shrinking margins. 'We were dead wrong expecting Musk and team to step up like adults in the room on the call and give a strategic and financial overview of the ongoing price cuts, margin structure, and fluctuating demand,' he wrote in a note Thursday." (our emphasis)
The same erratic and arrogant Musk that bought Twitter proceeded to run it into the ground, losing approximately 72% of its value since he purchased it in October, 2022.
In more bad news for Musk, Tesla is recalling 200,000 vehicles in the U.S. due to a software problem with its rearview camera. Last month, Tesla recalled 2 million vehicles over a problem with the Autopilot system that failed to alert drivers who were failing to pay attention. Sounds like a problem that Musk shares with his Autopilot system.
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