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Did Greedy Elon Musk Peddle Another Lie to Pocket a Hefty Payday?

Elon Musk has been known to lie in the past. His latest autonomous claim could be one of them, perfectly timed to pump the Tesla stock price.

  • Elon Musk recently said he is very close to developing fully autonomous vehicles.
  • That is another autonomous promise about a Tesla vehicle. The previous ones are unfulfilled, and this one could be a lie as well.
  • Currently, Tesla cars are nowhere near capable of driving themselves.

Tesla’s (NASDAQ:TSLA) stock rally has gone parabolic. The stock gained 43% over the last month, with a chunk of it coming in the previous two weeks. Those who dared to bet against Elon Musk got crushed.

Tesla’s steep rally the last month. | Source: Tradingview

The company’s market value has followed suit.

Tesla surges above and beyond all traditional automakers. | Source: Bloomberg

Just as it seemed a healthy pullback was coming, Elon Musk has found another way to pump the stock.

Wednesday’s trading session saw Tesla undergo some profit-taking, with the stock falling 1.3%. It seemed like perfect timing for Musk to make another claim about Tesla’s autonomous technology.

Why? Because another rally could land him a hefty payday.

Another one of Musk’s lies?

Musk has made several claims about Tesla’s autonomous vehicles. All of them have failed to materialize, which means we should be extra critical of his latest comments.

Hedge fund manager Brad Munchen reacts to Musk’s autonomous claims. | Source: Twitter

Some of his past claims:

A million Robo-Taxis by 2020

Last year, Musk made an ambitious announcement during Tesla’s Autonomy Investor day. He said there would be a million self-driving cars on the road by 2020.

Not only that, he claims Tesla cars would be an appreciating asset.

Some had called his bluff right then and there.

Well, 2020 is here, and there are still no robo-taxis around. There won’t be many for decades to come, according to most experts.

An autonomous minibus by 2019

In 2016, Musk claimed Tesla would start producing autonomous minibusses in two-to-three years.

It’s 2020, and there are no signs of them.

An autonomous cross-country drive

Musk once claimed:

All you need to is get in and tell your car where to go.

This was supposed to happen by 2017.

You still cannot take your hands off the steering wheel or eyes off the road when a Tesla car is “self-driving.”

Tesla’s autonomous technology is currently at level two. Level five, all of a sudden, seems highly unlikely.

A massive leap to level five for Tesla? | Source: NHTSA

It would be a mind-bending leap if Tesla is very close to level five automation. Especially when you consider the fact that the latest technology is already claiming lives.

Musk Eyes Huge Payday from the potential stock rally

If the Tesla stock rallies once again, Musk would be one step closer to a hefty payday, his second in two months.

For reference:

Elon Musk is on his way to another target. | Source: Reuters
Musk closes in on target two. | Source: Reuters

Another rally for Tesla will make sure Musk gets his $1.8 billion.

Considering what has happened in the past, it wouldn’t be farfetched to say Musk is once again lying for personal gain.

Disclaimer: This article represents the author’s opinion and should not be considered investment or trading advice from CCN.com. The author holds no investment position in the above-mentioned securities.

Last modified: September 23, 2020 2:03 PM

Chinmay Pandya

Chinmay is an India-based financial journalist who likes writing about the U.S. stock market and precious metals. Formerly, he has written for the Times of India and First Print newspaper. Reach out to him at chinmay.026@gmail.com or on his LinkedIn profile.