Tesla’s $5 billion stock offering failed the S & P 500 index, down more than 18% after opening

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Tesla announced today that it has completed a $5 billion stock offering. Tesla fell more than 18% as of press due to Tesla’s unexpected defeat in the S & P 500 index.
Tesla announced on September 1 that it had signed stock distribution agreements with investment banks and would sell up to $5 billion in shares. Tesla said at the time that it would sell $5 billion of Tesla common stock at market prices from time to time. Today, Tesla announced that it had completed the offering on September 4, and the final settlement of these shares is expected to be completed on September 9.
Tesla’s move comes at a time when Tesla’s stock market has reached new heights. On August 11, Tesla announced the “1 split 5” of the stock, and the stock after split adjustment was officially traded on August 31. On the same day, Tesla shares rose 12.57% to $498.32, pushing the company’s market value to $464.339 billion, making it the seventh largest U.S. company by market value.
But last week, Mr. SRA’s unexpected defeat in the standard & Poor’s 500 index caused the company’s share price to plummet for several consecutive days. Tesla’s share price continued to fall in pre market trading today, falling 14.92% to $355.92. Tesla shares fell 16.11% to $350.92 at the start of trading.
In this regard, David trainer, founder of new constructions, an investment research firm, believes that Tesla stock is the most dangerous stock on Wall Street, and its fundamentals do not support such a high price and valuation. Mr Turner said Tesla’s profit should be much higher than it is based on its current fundamentals, and its valuation should be a tenth of its current level.
In addition, Joseph spak, an analyst with RBC Capital who is optimistic about Tesla shares, believes that although Tesla has become one of the most important stocks in the US stock market, it is still fundamentally overvalued.