Musk's Announcement - What's Under the Hood?Musk announced that he is now worried about the economy and plans to cut his workforce by 10%.
It will be interesting to see the market reaction over the next few days.
The question in my mind is that the market is expecting TSLA to grow significantly over the next few years and so why is Musk cutting his workforce as opposed to just growing it at a slower pace if the economy tanks?
If the market looks at it this way then one could expect a significant downdraft in the SP.
On the otherhand, if the market sees Musk "getting ahead of the curve" and views a hit to the economy as temporary and shortlived then the effect on the SP would be muted and perhaps even positive.
I have bought some popcorn and taken a front row seat to watch how this plays out.