Apple is Elon Musk’s reference!
That Elon Musk talks about Apple is not something new. The controversial businessman has in the past referred to Apple-bitten interest from Tesla employees and his lack of interest in acquiring Tesla, without Apple making a statement. in this regard. This time, Musk again mentioned the company run by Tim Cookin a case that, unlike other occasions, could be confirmed.
This week During the presentation of the report on the financial results for the third quarter of 2022, it was learned that Tesla had failed a bit in terms of revenue in line with expectations.but exceeded earnings expectations.
To complete the results, Musk himself announced during a conference call a share buyback plan and other strategies, thanks to which Tesla would be worth more than Apple.
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Elon Musk thinks Tesla may be worth more than Apple
The ambitious projections of the businessman, considering that Apple has for several years been the most valuable company in the world, would be partly consolidated thanks to the repurchase of shares from 5 to 10 billion dollars.
In the stock market, this operation takes place when A company buys its own shares at the market price. Usually this is a sign that the company believes that its shares are undervalued and it is a way to increase the share price. After announcing the buyback program, the CEO commented on Tesla’s valuation:
I said on an earnings call a while ago that I thought Tesla might be worth more than Apple, which was worth around $700 billion at the time.
And he added:
I am now of the opinion that we can far exceed the current market capitalization of Apple. I see a way for Tesla to be worth more than Apple and Saudi Aramco combined.
Tesla is now worth around $700 billion based on its market capitalization. While Apple is worth $2.3 trillionthere Saudi Arabiawith whom first place is usually contested, has a value of approximately $2 billion.
Tesla shares fell more than 5% after Wednesday’s earnings call. It started the year at $399.93 million and isn’t currently at a year-to-date low, but not too far amid a huge contraction in tech stocks.
For many years, Musk was respected for his groundbreaking vision, but the lack of delivery on his plans cost him credibility and, as his results dictate, many millions.
