Elon Musk has a lot going on and investors have been on edge as to whether or not he can fulfill the promises he’s made.
Short seller Jim Chanos said on CNBC that Elon Musk has made “material misstatements and may be misleading investors” regarding milestones for Tesla on Thursday morning.
According to The Street, “While stopping short of suggesting fraud, Kynikos Associates LP founder Chanos suggested that Telsa is not likely to meet production deadlines that Musk set for its electric Semi truck and Roadster sports car. Musk has previously said the Roadster would be available in 2020 and that its Semi will be be entering production in 2019.”
Let’s take a look at how the top 8 ETFs with Tesla exposure are performing today as of 12:30 Eastern time via Yahoo Finance data.
8 ETFs With Tesla Exposure Repspond
- ARK Industrial Innovation ETF (ARKQ) with a 9.44% weighting down 0.24%.
- GEX VanEck Vectors Global Alternative Energy ETF (GEX) with a 8.66% weighting down 1.27%.
- First Trust NASDAQ Clean Edge Green Energy Index Fund (QCLN) with a 6.61% weighting down 3.80%.
- ARK Innovation ETF (ARKK) with a 5.75% weighting up 5.37%.
- Global X Lithium ETF (LIT) with a 4.22% weighting down 14.91%.
- Web x.0 ETF (ARKW) with a 3.89% weighting up 8.27%.
- First Trust NASDAQ Global Auto Index Fund (CARZ) with a 3.39% weighting down 3.15%.
- KraneShares Electric Vehicles and Future Mobility Index ETF(KARS) with a 3.23% weighting unchanged.
So what is happening with Tesla?
Elon Musk has had a lot on in his plate since 2002. He founded SpaceX in 2002 and Tesla was founded by friends of Musk in 2003, just one year after. In 2006, Musk invested $10 million in SolarCity and in 2013, Musk unveiled a design for a new kind of transportation system called Hyperloop.
At the end of 2015, he co-founded a research group called OpenAI to research and promote artificial intelligence projects that benefit humanity. He pledged $1 billion to the project. But in 2018, stepped down.
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It’s safe to say that Musk is doing much more than the average person. And there’s no way that he is average.But can he truly handle it all? Will one of the balls hes juggling eventually fall?
Elon Musk Misleading Investors?
According to CNBC, “As of mid-April, Tesla had a market cap of around $50 billion. And over the next 10 years, Musk expects it to rise to $650 billion.Tesla’s earnings were dubbed mostly “disappointing.” Analysts ramped up their criticism, and some even questioned if the company is “a Ponzi scheme.”
And after the company fired hundreds of workers, it faced a complaint from the United Auto Workers. Musk said “production hell” is coming. Tesla missed Model 3 production targets.
Moody’s Investors Service lowered its credit rating on Tesla recently stating, “Tesla’s ratings reflect the significant shortfall in the production rate of the company’s Model 3 electric vehicle,” Moody’s said. “Tesla’s rating could be lowered further if there are shortfalls from its updated Model 3 production targets.”
Will Musk be able to deliver? Only time will tell.