Brother, brother there are far too many stocks dying, but that’s the market right now – it’s very volatile.
Elon Musk’s younger brother, Kimbal, has reportedly made more than $8 million on Tesla’s stock this week alone. According to reports, the CEO’s brother took advantage of his options to buy the stock and two days later sold those shares at 6.5 times the price he originally paid for them. Kimbal, you rebel.
Shocking for many, but good timing for Kimbal who is a board member at Tesla. The sale of shares completed on Tuesday, some of the sales executed higher than Monday’s record closing price of $498.32.
Needless to say, shares of Tesla Inc have been hit by a massive blow as Tuesday marked their biggest loss since they went public to shake off the second bear market in 2020.
Investors have been taken on a crazy journey over the past week which began with a steady climb to a record close, then came stock offering, a huge bounce and finally an S&P 500 index snubbing.
According to MSN, “The American electric vehicle and clean energy company’s stock TSLA, -21.06% plunged 21.1% to close at $331.21 Tuesday. The previous record selloff was the 19.3% drop on Jan. 13, 2012, while the biggest post-COVID-19 crisis decline was 18.6% on March 16. Tesla went public on June 29, 2010, at a pre-split adjusted initial public offering price of $17 ($3.40 split adjusted).”
So how bad is it? We know such industries are volatile so don’t let this ruin your entire day, right now Tesla’s stock has plummeted 33.7% since closing at a record $498.32 which was roughly a week ago; the very day a 5-for1 stock split came into effect.
Tesla Inc’s stock selloff took place last Tuesday after the company revealed a $5 billion stock offering and a “large shareholder” reduced its stake. Last Friday, the stock had dipped 8.6% intraday, before desperately trying to improve to eventually close up 2.8%.