We haven’t heard much from him over the past few weeks, and now we get this earnings call, and it is far worse than expected. He’s known this was coming, and has been laying low, probably hoping things will improve some before making what he knows will be a disastrous earnings call. Its the equivalent of watching your diet 3 days before a doctor’s appointment, hoping your weight gain and cholesterol increase won’t be as bad as you know it is.
Also, it’s a safe bet that his board of directors is livid, and that he has been ordered by his board to get back to work, or be removed as CEO of Tesla.
There is almost certainly a shareholder class-action suit brewing over his reckless and irresponsible behavior over the last several months, which has directly caused severe, and probably irreparable damage to the company’s brand image AND it’s sales around the world, as well as tanking the stock price, an unforgiveable sin in the investing world. Now that the bubble has popped, it will never inflate again. As future earnings reports are released, and sales continue to slide, the stock will continue to decline, and the cycle will continue until bankruptcy. And it is all traceable to Skum’s self-indulgent, egotistical behavior.
The only question is will Skum be the only defendant, or will the lawsuit also name the individual members of the board, for not reigning him in, or firing him. They don’t want to be sued alongside him, so they are forcing him to get back to work saving Tesla, thus letting them off the hook for legal liability.
Its doubtful Skum will be able to save Tesla at this point, its almost certainly too late. It is also probably too late to avoid a shareholder lawsuit. Investors have lost millions of dollars, not due to the vagaries of the market, but due to Skum’s outrageous behavior, like throwing up celebratory Nazi salutes on national TV, which, as CEO, he should have realized would damage his company and its investors significantly.
And arguing that he didn’t recognize the danger in advance is no excuse at all for a CEO, who should have been able to predict the response to his self-indulgent ego bender.
Shareholders have lost many millions, and they won’t just let that go with an “Oh well.” He’s likely going to get sued, and the board is just making sure they don’t go down with him.
We haven’t heard much from him over the past few weeks, and now we get this earnings call, and it is far worse than expected. He’s known this was coming, and has been laying low, probably hoping things will improve some before making what he knows will be a disastrous earnings call. Its the equivalent of watching your diet 3 days before a doctor’s appointment, hoping your weight gain and cholesterol increase won’t be as bad as you know it is.
Also, it’s a safe bet that his board of directors is livid, and that he has been ordered by his board to get back to work, or be removed as CEO of Tesla.
There is almost certainly a shareholder class-action suit brewing over his reckless and irresponsible behavior over the last several months, which has directly caused severe, and probably irreparable damage to the company’s brand image AND it’s sales around the world, as well as tanking the stock price, an unforgiveable sin in the investing world. Now that the bubble has popped, it will never inflate again. As future earnings reports are released, and sales continue to slide, the stock will continue to decline, and the cycle will continue until bankruptcy. And it is all traceable to Skum’s self-indulgent, egotistical behavior.
The only question is will Skum be the only defendant, or will the lawsuit also name the individual members of the board, for not reigning him in, or firing him. They don’t want to be sued alongside him, so they are forcing him to get back to work saving Tesla, thus letting them off the hook for legal liability.
Its doubtful Skum will be able to save Tesla at this point, its almost certainly too late. It is also probably too late to avoid a shareholder lawsuit. Investors have lost millions of dollars, not due to the vagaries of the market, but due to Skum’s outrageous behavior, like throwing up celebratory Nazi salutes on national TV, which, as CEO, he should have realized would damage his company and its investors significantly.
And arguing that he didn’t recognize the danger in advance is no excuse at all for a CEO, who should have been able to predict the response to his self-indulgent ego bender.
Shareholders have lost many millions, and they won’t just let that go with an “Oh well.” He’s likely going to get sued, and the board is just making sure they don’t go down with him.