Elon Musk, CEO of Tesla Motors, unveils a new all-wheel-drive version of the Model S car on October 9, 2014 in Thorney, California.
Lucy Nicholson | Reuters
Tesla CEO Elon Musk, who seemed to be rallying behind the epic of Gamestop, tweeted a link to the Reddit board that mostly hyped the stock.
Shares of GameStop rose more than 60% after hours of trading on Tuesday following Musk’s tweet, linked to the “Wall StreetBates” Reddit page, which has more than 2 million subscribers. Tesla CEO tweeted “GameStonk !!”
Social Capital’s Chamath Palihapitiya said in a tweet that it had bought gamestop call options, adding that the stock had risen a day earlier on the condition that the stock would go higher. The stock closed 92.7% higher on Tuesday.
Musk’s total exit has been influenced by some companies before. Earlier on Tuesday, he tweeted about a hand-bought hat he bought for his dog on Etsy. This led to an 8% increase in pre-market trading in the company’s stock, although it eventually closed at 2.1%.
The CEO had problems at the SEC to tweet about Tesla’s stock. In August 2018, he said he wanted to take Tesla privately at $ 420 per share and he has raised funds to do so. Musk and Tesla had to pay a 20 20 million fine to the SEC for each claim, and since then Musk has agreed to submit public statements about his financial affairs and other laws to be examined by his legal counsel. Last year he infamously tweeted that Tesla’s stock was “too high”, immediately sending the stock down more than 10%, although it would rebound within a week.
The SEC did not immediately respond to a request for comment.
– CNBC, Laura Colodney contributed to this report.
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