The Tesla thing is so astounding to me because it all seems so obvious. Of course Elon buying Twitter was bad, and of course him signing up for the red team would kill his customer base. It’s the fact that the Tesla board has doubled down on him that’s so surprising.
But I think (as I believe you’ve said), it makes sense when you consider how massively overvalued Tesla is relative to fundamentals.
In a normal company the market would reward pushing out the person doing brand damage.
But Tesla has kind of always been a meme stock, and Elon is the meme. So if they don’t push him out, the brand collapses and takes the company down. But if they do push him out the meme ends and the stock price collapses, which is also potentially fatal.
The Tesla thing is so astounding to me because it all seems so obvious. Of course Elon buying Twitter was bad, and of course him signing up for the red team would kill his customer base. It’s the fact that the Tesla board has doubled down on him that’s so surprising.
But I think (as I believe you’ve said), it makes sense when you consider how massively overvalued Tesla is relative to fundamentals.
In a normal company the market would reward pushing out the person doing brand damage.
But Tesla has kind of always been a meme stock, and Elon is the meme. So if they don’t push him out, the brand collapses and takes the company down. But if they do push him out the meme ends and the stock price collapses, which is also potentially fatal.
It’s just sad all around.