Musk has been working to raise money for the purchase of Twitter, and some analysts predict that following the Tesla quarterly report, he may need to sell an additional $3 billion worth of stock.
Elon Musk acknowledged that he and his investors are undoubtedly overpaying for Twitter, but he also expressed excitement over the acquisition of the dominant social media platform.
Twitter, in his words, had “languished” for a very long period. “It is clear that I and the other investors are now overpaying for Twitter. In my opinion, Twitter’s long-term potential is by an order of magnitude more than its current valuation “said he.
Tesla’s CEO, Elon Musk, was responding to a query during a conference call following the release of the company’s quarterly report. After initially attempting to back out of the $44 billion transaction, the world’s richest person is moving forward with the purchase of Twitter.
Musk also discussed Tesla on the same conference call and seemed upbeat about it. According to him, Tesla, which currently has a market cap of less than $700 billion, may be worth more than the combined value of Apple Inc. ($2.3 trillion) and Saudi Aramco ($2.1 trillion).
Musk has been working to raise money for the purchase of Twitter, and some analysts predict that following the Tesla quarterly report, he may need to sell an additional $3 billion worth of stock.
Twitter Inc.’s case against Elon Musk was put on hold by a Delaware judge, giving the business magnate until October 28 to complete the transaction.
Tesla shareholders were concerned that the billionaire may sell additional Tesla stock to close the acquisition and might be overextending himself, which would cause shares to fall.
On Wednesday, Musk, the CEO of SpaceX, Neuralink, and the Boring Company, stated that he does not currently have any plans to bring those companies together with Twitter under a single roof.
As a result of increased vehicle sales, Tesla stated that its third-quarter profit more than doubled from a year ago.
From July through September, the Austin, Texas-based manufacturer of solar panels and electric vehicles reported a net income of $3.29 billion.
On the business’s quarterly conference call, CEO Elon Musk stated that Tesla is planning a $5 billion to $10 billion stock buyback next year, regardless of how the economy performs.
Musk said that Tesla’s “Full Self Driving” function won’t be available for usage this year without a human at the wheel. But “beyond a shadow of a doubt” it will be ready the following year.
According to data provider FactSet, Tesla made $1.05 per share after special items, above Wall Street expectations of $1 per share. The amount of revenue increased by 56% to a record $21.45 billion, but it was barely shy of the $21.98 billion average projection.
The business has delivered 908,573 vehicles so far this year. Just over 936,000 vehicles were delivered by the corporation last year. The corporation would need to sell more than 490,000 automobiles in the fourth quarter in order to surpass last year’s sales by 50%, or almost 1.4 million vehicles.
