Tesla shares drop on exec shakeup, Musk’s behavior on webcast

Tesla shares dropped the most in two years on Friday, rocked by the departure of its accounting chief after just a month and mounting investor concerns about Chief Executive Elon Musk’s behavior after he smoked marijuana on a live webcast. Zachary Goelman reports.

(REUTERS, JOE ROGAN VIMEO SITE) – Tesla shares suffered their greatest single-day drop in two years on Friday.

Investors still holding the troubled electric car-maker dumped the stock after CEO Elon Musk smoked pot on a webcast, and on news a top Tesla executive had quit the company.

Tesla fell eight percent at the open, then recovered somewhat.

Shares were still down more than five percent in mid-day trading.

47-year-old Musk on Thursday appeared on a video podcast hosted by comedian Joe Rogan, where they talked artificial intelligence, flame-throwers, and social media.

Rogan handed Musk a joint, which he said was a blend of tobacco and marijuana legal in California.

Musk took a hit, and told Rogan, “I’m not a regular smoker of weed… I don’t actually notice any effect… I don’t find that it is very good for productivity.”

The nonchalant drug use comes after the CEO stunned shareholders by announcing a plan to take the company private for $420 a share, a plan he was quickly forced to abandon.

Tesla shares are down more than thirty percent since hitting an August 7 high.

Tesla was not immediately available for comment.

But the firm’s chief accounting officer announced he’d resigned earlier this week after less than a month on the job.

Dave Morton said he was uncomfortable with the level of public attention directed at Tesla.

But he said he believed strongly in the company and had no disagreements with its leadership.

Associated Links

  • Tesla
  • ThomsonReuters
  • Transport
  • Elon Musk
  • Nationality
  • Economy of the United States
  • Tesla Model S
  • Nikola Tesla

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