When it comes to this case, the finer details of who is at fault might be complex, but the bare bones of what happened is simple enough to explain in a few words. Elon Musk’s brother Kimbal Musk sold $108 million worth of Tesla shares one day before Elon Musk tweeted a poll asking the world if he should sell his own 10% stake.
The U.S. Securities and Exchange Commission has started investigating the case to see if insider trading occurred, as reported recently by the Washington Post.
It’s no secret that Tesla has been one of the major success stories over the past decade. The price of Tesla stock has increased from around $89 in 2019 to its all-time high of $1,222 by the end of 2021.
The Department of Fair Employment and Housing (DFEH) in California has filed a lawsuit against Tesla. The suit is just one case of many over the last few years, with various employees saying they’ve suffered similar experiences when working for the electric vehicle giant.
It seems that Musk and the rest of his company have their work cut out for the next few months as they try to get back on track with public opinion.It’s fair to say that Tesla isn’t quite out of the danger zone, but it’s far from out of the running — recent events may turn out to be a tiny blip in its growth path.