Tesla stock plunges after Elon Musk 'smokes marijuana' during web interview - Ireland

Tesla stock plunges after Elon Musk 'smokes marijuana' during web interview - Ireland

Tesla stock plunges after Elon Musk 'smokes marijuana' during web interview - Ireland

The gains also came after Musk himself said in an email to employees late Friday that the company was on track for the "most fantastic quarter in our history" and urged employees to ignore "fuss and noise" about the company in the media.

Viecha also restated Tesla's forecast that it will build 50 000 to 55 000 of its Model 3 sedans in the current quarter, and indicated the company's working capital will improve as production increases, Spak wrote.

Media reports that the US Air Force is reviewing the security clearance of Elon Musk, the chief executive of automaker Tesla Inc are inaccurate, US Air Force spokesperson Captain Hope Cronin said on Friday.

Shares of the company, which closed up 8.5 per cent at $285.50 on Monday after two brokerages said it could meet its production targets for the second half of the year, fell almost 2 per cent before the bell on Tuesday. Tesla isn't explaining for now, other than to say it streamlines the production line to some extent.

Shares of Tesla are down 14% since the start of this year.

The electric-car maker finished the day up 8.5 percent, at $285.50, a boost that was also fueled by Baird analyst Ben Kallo urging investors in a note to stick with Tesla "even with the drama".

However, the firm downgraded its Tesla rating to neutral from buy, noting that some of Musk's recent behavior could weaken consumer confidence in the brand. Shares slid 13% last week after CEO Elon Musk was filmed smoking marijuana during a live interview, and amid personnel changes that saw chief accountant Dave Morton resign. Musk tweeted on August 7 that he was considering taking Tesla private at $US420 per share and had secured the funding, but later reversed course.

Tesla is under extreme pressure to turn a sustained net profit starting this quarter, as promised by Mr Musk, but in the second quarter it burned through $739.5 million (€648m) in cash and lost a quarterly record $717.5 million (€620m).

Tesla declined a request for comment on this story.

The Model 3 was presented as Tesla's first mass-market vehicle, but so far, Tesla has only made premium versions of the Model 3 with long-range batteries. Analysts at Baird, meanwhile, reiterated their connected of a take care of ranking on the stock and named it a "fresh use", announcing "solid fundamentals might perchance perchance perchance simply composed force shares elevated", with merchants underestimating ends in the 2d 1/2 of the yr. The Motley Fool owns shares of and recommends Tesla.

Latest News