Tesla Made Significant Midday Comeback

On Monday, Tesla shares staged a remarkable U. S. session’s midday comeback after selling off in heavy volume.

Tesla shares traded down 1% after paring deeper losses of nearly 5%. CEO Elon Musk sold $6.9 billion worth of Tesla shares last week. This is estimated to be one of the largest stock sales by a chief executive over a span of days, according to several media and news reports.

Rumours claim that Elon Musk sold shares to pay back personal debts, whereas others claim that Musk is not selling Tesla stock because he is short of cash; he just wants to benefit from Tesla’s valuation.

Some market observers suggest that Musk doesn’t need cash, rather he wants to profit from Tesla’s stock prices that rose nearly twelvefold since the start of beginning of the current year.