Tesla Dives As Musk Doubts Stock Price
By DONNA HOWELL, INVESTOR’S BUSINESS DAILY
Tesla Motors (NASDAQ:TSLA) stock, sinking after a new analyst report following valuation comments this month by CEO Elon Musk, helped drag down the Nasdaq 1.1% Monday in its biggest loss since July 31.
Tesla stock dropped 9.1% in the stock market today to close at 253.86. It is up 69% for the year to date.
More than 16 million Tesla shares traded hands Monday, making the stock the 14th most active on the Nasdaq by share volume. But at about $4.2 billion worth of trading, it ranked as the second most traded of Nasdaq stocks to 66-68 late Monday from 60-66.
Internet stocks dipped Monday, with Facebook (NASDAQ:FB) suffering nearly a 4% decline as one of the most active issues traded. Micron Technology (NASDAQ:MU), another very active issue, slumped almost 5%.
Tesla’s battery project is expected to bring Nevada an economic impact of nearly $100 billion in the next two decades and to enable Tesla to produce enough batteries to power half a million electric cars annually by 2020 — along with maybe providing some for consumer electronics companies and solar energy storage for its cousin company SolarCity (NASDAQ:SCTY).
SolarCity shares, for their part, tumbled 9% Monday.
Apple, for its part, fell just 3 cents.
In better news for Tesla on Monday, the company won the OK, in a court ruling, to sell its luxury electric cars directly to consumers in Massachusetts, the Boston Globe reported. Tesla has encountered difficulty in some states where rules designed to protect dealers in the traditional auto industry have been interpreted unfavorably to the California startup.
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