Elon Musk, the Chief Executive Officer of Tesla Inc., told employees that they should not be “bothered by stock market craziness” after the company’s shares fell nearly 70% this year on jitters over softening demand for electric vehicles and Musk’s distraction with running Twitter. Musk’s distraction with running Twitter contributed to the decline in Tesla’s share price.
Musk expressed his conviction that, in the long run, Tesla would be the most valuable business on the planet in an email he sent out to employees on Wednesday.
After the manufacturer gave discounts on its automobiles in China and the United States, he pushed staff to step up their delivery rates until the conclusion of this quarter so that the company can meet its sales goals.
“I would ask that you give it your all over the next several days and, if at all feasible, provide your assistance with the delivery. It will be very significant in the end! “that is what he said in the email.
According to statistics provided by Refinitiv, analysts anticipate that Tesla will deliver 442,452 cars during the fourth quarter.
The value of the shares that Tesla’s workers possess has decreased as a result of the company’s precipitous drop in share price. The majority of Tesla’s employees, including manufacturing workers, have been eligible to receive equity compensation.
Following a decline of 11% in the previous trading session due to a report from Reuters that the carmaker intended to operate a restricted production schedule in January at its Shanghai facility, the company’s shares saw a strong recovery on Wednesday. The information gave rise to concerns over a potential decrease in demand in the market for automobiles that is the largest in the world.
“Be that as it may, you shouldn’t let the madness of the stock market disturb you too much. The market will acknowledge that fact as we continue to display good performance as we move forward “he stated.
“Over the course of many years, it is my firm conviction that Tesla will emerge as the most valuable corporation on the face of the planet!”
The analysts at Morgan Stanley dropped their price objective on the company from $330 to $250, noting that despite the fact that demand has been higher than supply for the last two years, this trend will “significantly reverse to supply surpassing demand” in 2023.