Hyperdrive
Tesla Stock Drop Wipes Out $126 Billion in One Day
- EV maker’s shares down 23% since Musk unveiled Twitter stake
- Stock has also suffered from a broad pullback in tech stocks
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Tesla Inc. wiped roughly $126 billion off its valuation Tuesday as the stock fell 12% on investors’ concern that Elon Musk may sell shares to complete his $44 billion takeover of Twitter Inc.
The electric-vehicle maker’s market capitalization is now down more than $275 billion since April 4, when Musk disclosed that he increased his Twitter stake. That’s a drop of roughly 23%. The dollar value of Musk’s 17% stake in Tesla has shrunk by more than $40 billion, almost double the equity portion he pledged in the Twitter transaction.