Musk has been running both Twitter and Tesla since last year.
Marlena Sloss/Bloomberg
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Elon Musk said that he has found a CEO for Twitter but didn’t say who it was.
Tesla
investors are happy nonetheless.
The Tesla (ticker: TSLA) CEO posted on Twitter at about 3:45 p.m. ET, “Excited to announce that I’ve hired a new CEO for X/Twitter. She will be starting in ~6 weeks!”
It was a relief for Tesla investors. Tesla stock jumped roughly $3 after the tweet. Shares closed up $3.54, or $2.1%, at $172.08. The
S&P 500
closed down 0.2%. The
Nasdaq Composite
gained 0.2%. Tesla stock was up another $1.20, or 0.7%, in after hours trading at $173.28 a share.
Investors have worried about the issue of Musk being too busy with, or distracted by, his social media platform. Tesla stock was about $225 a share before Musk took over Twitter. Shares closed out 2022 at about $123, falling about 45% over a span when the Nasdaq dropped about 3%.
Management distraction is difficult to measure. Musk has been involved in Twitter for about a year. Perhaps no Twitter could have mean faster development of a lower-priced new model or a faster launch of Cybertruck. That’s only speculation. Tesla didn’t respond to a request for comment.
Tesla and Musk did seem to be aware of the distraction issue. Tesla’s March investor event featured a lot of managers that investors haven’t heard from in the past. It’s the first time investors got a chance to evaluate the depth of Tesla’s management talent.
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