After a sharp rise for the last time quotes Tesla demonstrated one of the largest one-day drops in the history of trades in the shares of the company on the stock exchange.
In the course of the trading session on Wednesday, February 5, quotes Tesla on the NASDAQ fell by 17% to a level of 739 dollars per share. The drop in prices has reached 21%, which is the company’s anti-record in terms of intra-day decline in its shares. While a day earlier, on Tuesday, February 4, Tesla stock increased by 21%.
the Formal reason for the incident on Wednesday, a collapse that players have used as the reason for the sale of securities of Tesla, was the news about the sale of the sovereign wealth Fund of Saudi Arabia (PIF) a large stake of the company, as well as reports of a delay in the production of Tesla cars in China due to the coronavirus.
the Release of PIF from the capital Tesla, according to the financial statements of the Fund, as noted by CNBC, occurred in the fourth quarter of 2019 Sovereign Fund Saudi Arabia almost completely got rid of the investment in Tesla and sold 99.5% of stake of more than 8.2 million shares.
Many experts have noted that by selling the shares of Tesla until December 31, 2019, the Fund of Saudi Arabia thus missed the massive rally in shares of the American automaker, which began after the new year.
In this situation, the output of the Tesla capital of one of the largest sovereign funds in the world can be seen as the loss of one of the strategic investors for American companies, for one reason or another lost interest in a long-term investment in Tesla.
To collapse February 5 Tesla, as noted by the experts of consulting company Bespoke Investment, were among the largest automakers in the world by market capitalization, behind only the Japanese Corporation Toyota. At the same time the sales of the Tesla is still significantly inferior to most of the leading automotive companies in the world.
Bets on the increase in value of the shares Tesla, in spite of the numerous scandals that repeatedly appeared as its founder, the former Chairman of the Board Elon Musk and the company itself – including, amid allegations of “security” autopilot car Tesla – largely continue, including future potential of the company. Investors continue to view Tesla as a global leader in the segment of electric cars.
Quotes company had previously experienced sharp UPS and downs in this respect, Tesla also maintains a leading position among global automakers in the degree of volatility of their shares.