|Musk Has A History Of Broken Promises|
Regardless of Tesla's problems, many in the media continue to spin out positive stories such as a Market Watch piece titled; "Black Swan Author Defends Tesla After Actress Post Video Of Car Fire" This article may have exaggerated what Taleb actually said. It states that while Tesla skeptics, of which there are many, piled on, Nassim Taleb, New York University professor, “Black Swan” author and Tesla owner, stepped up to defend the company with some tweets of his own. Taleb pointed out that when it comes to cars catching fire numbers from the National Fire Protection Association states that two-thirds of the 152,300 car fires per year, on average, are caused by mechanical or electrical failures.
|Tesla Numbers Are A Growing Concern|
Interestingly Business Insider has come out questioning if much is really is being produced by the tent production line dubbed GA4 which stands for, General Assembly #4. It is possible it is merely a prop to confuse or take our eyes off his failings. It seems fewer than 100 vehicles have come off this line since it began operation in the first part of June. Business Insider also reported that Tesla has only built made around 6,000 Model 3s this month, well short of the 5,000/week quota set by Musk who recently told employees that he would be at the Fremont factory “almost 24/7 for the next several days” to make sure the teams that are behind get “as many resources as they can handle.”
My point is that a CEO's job is not to hype up a companies stock but to run and guide a company forward taking Musk's actions over the line and into the area of blatant stock manipulation. Where there is smoke there is generally fire and this is not a pun referring to the recent number of Teslas that have burst into flames but has to do with the reality of so many investors being negative on Tesla stock. Unfortunately, for the shorts, shares are up almost 30% in the past month mainly as a result of Musk's antics and toying with those of little faith. Between his constant warnings such as, "They have about three weeks before their short position explodes." Such statements do not add to true price discovery but can extend a Ponzi scheme that is harmful to investors.