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Tesla Shares Drop After Elon Musk Himself Claims 'stock Price Too High'

musk tesla 012317 02may20 lt

Shares of Tesla Inc. (TSLA) dropped 10 percent in Friday closed regulare trade, after CEO Elon Musk tweeted that the auto maker's share price is "too high."

"Tesla stock price is too high imo (in my opinion)," he said in one of several tweets.

It is possible violation of an agreement reached with the U.S. Securities and Exchange Commission last year. As per a court settlement, Musk needs Tesla's securities lawyer to pre-approve any public, written communication on Tesla.

Musk has a history of surviving ill-advised statements.

In 2018, the SEC had sued Elon Musk for allegedly making false or misleading statements, including tweeting about his plans to take Tesla private at $420 per share.

In 2018 Elon also called a British rescue worker, who helped to save 12 boys and their soccer coach from a flooded cave in Thailand, a "pedo guy." A defamation lawsuit was filed against Musk, but he won the defamation trial.

"I am selling almost all physical possessions. Will own no house," Musk also tweeted on Friday.

TSLA closed Friday regular trading at $701.32, down $80.56 or 10.30 percent.

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