There are plenty of people out there who like to blame Twitter for Tesla’s (NASDAQ:TSLA) latest troubles. In an unexpected twist, the electric vehicle maker’s latest troubles can apparently also be traced back to Twitter…four years before Elon Musk bought it. The market, however, doesn’t seem a bit concerned as Tesla stock is up significantly in Tuesday afternoon’s trading.
Tesla remains strongly favored by Wall Street. Analyst consensus currently calls Tesla stock a Moderate Buy. It also has 76.9% upside potential thanks to its average price target of $231.71 per share.
The latest Tesla kerfuffle focuses on tweets that Elon Musk made back in 2018. Musk referred, in some of those tweets, to taking Tesla private. Musk even went so far in those tweets to note that funding to do the job was ready. Shareholders at the time, meanwhile, bought in but lost quite a bit on their investment after the New York Times offered a report noting that the funding involved was, in fact, “far from secure.”
Thus, those shareholders who bought in between August 7, 2018, and August 17, 2018, are filing suit. They allege that the purchases ultimately cost Tesla investors “billions.” However, they declined to say just how many billions in damages they will be requesting as a result. Opening arguments may start as early as today, though jury selection is still going on. Further, Musk is trying to get a change of venue, suggesting that the local media has already tainted the jury pool with stories about Twitter itself.
