We all know that social media sites are very useful for the people who want to interact with new friends, want to stay connected with them, want to make some money through it and to do many such things. If we will say that some top companies saw a huge fall in its stock price, just because of a single tweet, most of the people will not believe it. Whether you believe it or not, things like this can happen and it happened this year in May.
In the month of May, most parts of the world were facing the stroke of deadly coronavirus. Most of the places, shops, institutes and all other such things were either closed or they were allowed to open only under very strict guidelines.
During this lockdown period, one tweet of Mr. Elon Musk became the talk of the town on social media. Mr Elon Musk is the Current CEO of Tesla, Inc. On 1st May, he posted a tweet saying that the stock price of Tesla is too high. This tweet damaged the growth of the company just after 30 minutes. The share prices of Tesla stocks fell up to 12%. Due to this all, Tesla had to suffer a loss of 14 Billion dollar approx.
Later on, when Musk was accused of it, many of the different explanations were given by him and from the media. Musk said that his Twitter account was hacked before this tweet, however, hardly anyone believes this statement. According to some trusted sources, Musk tweeted that tweet due to frustration he was differing due to lockdown. Actually, in May, the whole country was going through the phase of lockdown.
During this crackdown, all the factories, working and non-working units etc. were closed. One of the car manufacturing units of Tesla stock is in California. That was also closed since last one month but Musk wanted to reopen that factory once again amid the lockdown. For this purpose, he met with the state official and urged him to permit the reopening of the factory but that urge was not accepted at that moment. Due to this all he was very frustrated and might be he tweeted that tweet under that frustration only.
Many people also got the doubt that might be due his that act, the Tesla company may dismiss him from his position. But nothing like this is going to happen. Before one year one similar tweet of Musk created a lot of problems for the company but due to the benefits the company got under his service, they just ignored him that act too. You can check its releases at https://www.webull.com/releases/nasdaq-tsla before investing.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.