Tesla (TSLA) stock popped Thursday after CEO Elon Musk announced there will be a new person heading up Twitter in the coming months.
Musk wrote on Twitter Thursday afternoon that he has hired a new CEO for X Corp., formally known as Twitter, and that she will be beginning her duties in around six weeks. The Tesla CEO did not name who the new head of Twitter is.
Musk added that his role at Twitter will transition to being executive chair and chief technology officer at the company. He added he will oversee products, software and system operators.
Musk took over Twitter on Oct. 28 purchasing the social media platform for $44 billion. The purchase was in part financed by Musk selling off some of his Tesla stock. This along with his focus on Twitter has worried some longtime Tesla stock bulls, with the belief negative attention is weighing down Tesla stock.
Musk signaled that he’ll remain at active role at his social media site. He’ll also likely continue to tweet freely.
Futures: Market Struggles Outside Google; Tesla Pops On Elon Musk News
Tesla stock popped 2.1% to 172.08 in Thursday’s market trading, with nearly all of the gain coming in the last few minutes following Musk’s tweet. TSLA shares edged higher in after-hours action.
The EV giant is up around 67% from a January low, but has retreated considerably since the end of March. Tesla stock remains below its 50-day and 200-day moving averages.
If shares continue to rebound, it could potentially form a double-bottom base with a 207.89 buy point. But which direction the stock might go remains very uncertain.
Tesla ranks fourth in IBD’s Auto-Manufacturers industry group. TSLA has a 59 Composite Rating out of 99. The stock has also has a 20 Relative Strength Rating. The EPS Rating is 93 out of 99.
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