Part 7/11:
From Musk’s perspective, selling a modest portion of Tesla — even 10 to 25 percent of his holdings — might be a rational measure to ensure liquidity for Twitter and other ventures. Given Tesla’s high valuation, even small sales could generate billions to shore up cash reserves, especially during market turmoil or an economic slowdown.
Is Elon Musk Sending a Signal?
If rumors are true that Musk might be taking out margin loans against Tesla stock, it suggests he remains confident in Tesla’s long-term potential. Borrowing on stock he believes will appreciate signals strong conviction in his company’s future growth. Conversely, it indicates he might consider his Tesla holdings as a source of liquidity for other investments or urgent financial needs.