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Elon Musk Sends Loud Message to Short-Sellers
Elon Musk is known for being a controversial figure in the business world, and his latest move is no different. Tesla, the electric vehicle (EV) maker, is building a legal team that will have the explicit goal of attacking short-sellers who bet on the company’s stock slump. Musk is also planning to take on regulators, who he has openly stated that he hates. In this article, we’ll take a closer look at Musk’s latest move and what it means for Tesla and its shareholders.
Short-Sellers Betting Against Tesla
Short-selling is a practice where traders borrow shares of a company and sell them, hoping that the stock price will go down so that they can buy the shares back at a lower price and make a profit. Short-selling is often seen as a controversial practice, as it can drive down a company’s stock price and create negative sentiment among investors.
Tesla has been a popular target for short-sellers in recent years. In fact, according to a study by Ortex, Tesla was the most profitable company for short-sellers in 2020. Musk has been vocal about his disdain for short-sellers, referring to them as “haters” in a tweet from 2018.
