Elon Musk said over the weekend that Twitter's advertising revenue has fallen by 50% since he bought the company, and that it's not cash flow positive.
What investment markets? Twitter is now a privately held company. The only people who need to care about it’s valuation are the people who loaned Elon the money. If he would have bought it outright, no one would need to care, nor would anything need to be disclosed.
Musk is the CEO of a publicly traded company (Tesla) and the CEO of a company that just recently sold shares on the secondary market (SpaceX). The valuation of these companies is wrapped up in market sentiment about Elon Musk.
The valuation of those companies should be wrapped up in their performance, financials, and future outlook. Elon has said many times he spends 80% of his time on engineering, which means he’s mostly a mascot as CEO, not the one dealing with the actual business.
If any investors did have a problem with Elon as a person and they let that influence how they value the companies, I’d think they’d see it as a good thing that he was distracted by Twitter as it would be less time spent with Tesla and SpaceX. Either they like him and have no issues, or they dislike him and are happy he’s potentially MIA. Seems like a win-win.
What investment markets? Twitter is now a privately held company. The only people who need to care about it’s valuation are the people who loaned Elon the money. If he would have bought it outright, no one would need to care, nor would anything need to be disclosed.
Musk is the CEO of a publicly traded company (Tesla) and the CEO of a company that just recently sold shares on the secondary market (SpaceX). The valuation of these companies is wrapped up in market sentiment about Elon Musk.
The valuation of those companies should be wrapped up in their performance, financials, and future outlook. Elon has said many times he spends 80% of his time on engineering, which means he’s mostly a mascot as CEO, not the one dealing with the actual business.
If any investors did have a problem with Elon as a person and they let that influence how they value the companies, I’d think they’d see it as a good thing that he was distracted by Twitter as it would be less time spent with Tesla and SpaceX. Either they like him and have no issues, or they dislike him and are happy he’s potentially MIA. Seems like a win-win.
Yeahhhhh, about that…