Elon Keeps Unloading Tesla Shares: Why?

Photo by Austin Ramsey on Unsplash

Investors have a lot of questions.

On Thursday (December 10), it was reported that Tesla CEO Elon Musk sold another 934,091 shares totaling $906.49 million. This news came after Musk sold $9.85 billion worth of Tesla stock in November.

His sell-off came after Musk posted a poll on Twitter on November 6th, where he asked his followers if he should sell 10% of his Tesla shares. Most of his followers voted yes. However, Musk had already made plans to sell the shares based on filings from the SEC.

While some believed Musk selling his shares would be detrimental for Tesla stocks, it had the opposite effect. Now, many are wondering why the billionaire is selling stocks.

When Musk made the poll, he referenced that he did not receive a salary or bonuses, so to pay his tax bill, he needed to cash out his shares. At the time, Musk had a $15 billion tax bill. 

While Musk has sold a fortune in shares, he owns more Tesla shares now than he did before he began selling his shares in November. That’s because the CEO is exercising options to buy 10.7 million Tesla shares before they expire in August 2022. Showing he is still as bullish about the stock as he’s always been and putting investors at ease.

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