Home Stock list Elon Musk may sell more Tesla shares, his top spot on billionaire list may be short-lived: survey

Elon Musk may sell more Tesla shares, his top spot on billionaire list may be short-lived: survey


Tesla, Inc. TSLA CEO Elon Musk may end up not buying Twitter, Inc. TWTR but it could continue to offload its Tesla stake, Bloomberg MLIV Pulse survey results showed.

The survey polled 1,562 respondents, including portfolio managers and retail traders, and was conducted between July 25 and July 29, Bloomberg said.

Musk’s Twitter deal may not go through: About three-quarters of respondents expect Musk to walk away from the Twitter deal, and one-third believe the billionaire will settle by paying Twitter more than $1 billion. About 27% believe Musk will be ordered to pay the $1 billion breach fee.

Tesla’s Musk went public with a passive stake in Twitter in early April, then launched an offer to take Twitter private for $54.20 per share, or $44 billion in total. After waiting a while, Twitter relented and accepted Musk’s proposal, resulting in a deal.
Musk, however, backed out of the deal in mid-May, citing discrepancies in the number of spam accounts reported by the company. Twitter has taken legal action against Musk to enforce the agreement.

Musk’s stock sale can continue: Bloomberg’s survey showed that around 68% of respondents believe Musk will continue to sell his Tesla stake regardless of the outcome of the Twitter deal.

After a November poll asking subscribers for their recommendation on whether to sell Tesla stock, Musk disposed of his $15 million stake in Tesla. Following the Twitter deal, he sold an additional 9.4 million shares.

If the stock sale is accompanied by a definitive agreement to buy Twitter, Tesla stock could escape the brunt of the sale, said Steve Sosnick, chief strategist at Interactive Brokers, according to Bloomberg.

“A permanent end to Twitter would remove a distraction and theoretically allow Musk to focus more on Tesla,” he added.

Related Link: Elon Musk Says It’s Time To Move On From This Car Class, Here’s Why

The relative performance of Tesla Vs. Other megacaps: About a quarter of respondents expect higher returns for Microsoft Corporation MSFT, the investigation revealed. Almost the same proportion rooted for Amazon, Inc. AMZN generate better returns.

The share of respondents who expect to Alphabet, Inc. GOOGL GOOG and Apple Inc. AAPL to generate better returns were 21% and 18%, respectively.

Only 12.5% ​​of respondents thought Tesla’s relative returns would be better.

Musk’s top spot on the billionaires at risk list: More than half of those polled believe Musk will lose his top spot on the billionaire list by the end of 2023. The Tesla CEO has become the world’s richest man in 2021, capitalizing on the stock market rally of Tesla who increased his net worth.

About 33%, however, said Musk would retain the top spot until 2025 or later.

Shares of Tesla closed Friday’s session up 5.78% at $891.45, according to data from Benzinga Pro

Photo: Courtesy of NVIDIA Corporation on flickr