we need to talk about Elon Musk and Tesla Stock...

wow we need to talk about Elon Musk

because yesterday long and short of it

he basically implied that he's not so

sure about developing artificial

intelligence at Tesla unless he has 25%

voting control of the company which

let's be real right now he's got

slightly more than 133% you could throw

in some options maybe add another 6% but

the point is that would still leave him

shy somewhere between 6 to 12% of what

he would need in terms of voting control

to have control of Tesla to the point

that he feels comfortable in expanding

artificial intelligence research arguing

that Tesla is uh ceration whatever of

multiple different startups now I don't

know if there's like some Mark

Zuckerberg Envy going on since Elon Musk

has also been kind of tweeting

comparisons to Facebook and how Facebook

has dual class voting shares whereas

Tesla doesn't and it's really difficult

to set that up after a company IPOs and

there were a lot of I mean there have

always kind of been comparisons between

Mark and Zach you know Elon wanted to

show up at his house and fight him and I

guess that never happened supposed to be

a fight in the Coliseum that got

downgraded to a different uh monument

and then just basically fizzled away and

never happened I I I there there's a lot

of this like you know uh male parts

measuring contest that's going on and uh

uh that there's that uh then there's

obviously the drama around the Twitter

acquisition and a lot of shareholders

being very frustrated at Tesla that Elon

seems highly distracted by Twitter

though other people are like no it's for

the good of humanity it's for the good

of Free Speech but what we really need

to do is ignore all of the speculation

craziness and mid Journey 6 pictures uh

leaked photos of uh Elon Musk sad about

his Twitter acquisition I have to say

mid Journey 6 not bad not bad i' I'd

probably say it's got you know it's got

some work to do on hands still looking a

little bulky here but but uh I have to

say you know mid Journey 6 not bad so if

you haven't been using some of the AI

tools you're missing out because some of

these are are pretty impressive uh

there's some really wild detail here uh

that you can get out of these uh these

image generators now it took like a

whole like 45 seconds to generate this

morning in the course member live as we

were messing around a little bit not

exactly sure what's going on over here

if that's all bird poop and that's why

he's sad or what but any who what are

the implications of this well long and

short

nothing here's the thing every single

time drama like this happens with a

company like Tesla and the stock goes

down which I realized it went positive

again today okay we're going to talk

about that in a moment because the fibs

are working again uh hopefully knock on

would okay there's a there's a risk they

won't but it's really scary what's

happening in the fibs right now as I'm

recording this video it's like it's

perfect but anyway uh what you have to

know is this is probably a negot NE

iation Ploy from Elon Musk I really

think that Elon knows it's been a very

long time since he's had a new Stockon

plan there's talk that they can't have a

current stock comp plan because of a

shareholder lawsuit somebody who has a

very insignificant amount of shares is

part of a class action lawsuit uh in in

Delaware uh and basically this this

lawsuit has been going on for nearly two

years now it still hasn't settled out

and until it settles out they can't

really do a new stock comp plan at least

that's the current argument so I think

Elon is posturing that maybe we're

getting close to resolving that case and

now he's purposely posturing to try to

massage the board into giving him a

better stock comp plan because Elon

wants to argue that hey I need to have

25% control so that Humanity doesn't get

destroyed when we come out with the

amazing artificial intelligence tools

that we have and some activist investor

doesn't come in and take my 15% uh and

then and then we're screwed basically

because somebody does evil things with

artificial intelligence that's the gist

of what elon's trying to pull off here

and there are two ways to look at it one

way to look at it is elon's being greedy

he should stop being distracted by the

bird and actually focus on Tesla uh and

then the other part of that is people

are like bro I'm investing in Tesla

because of all of those other startups

so the fact that you might imply you

might sandbag those other startups just

because you're not getting more stock

comp comes across a sleazy then there

are the other side of people who are

like no no no it's bullish every time

things go this bearish where people

start saying that's it Tesla's going

down to 100 Tesla's going to drop

50% uh it's over for Tesla the Market's

finally realizing Tesla's overvalued

every time like that sort of sentiment

comes out it's usually a really good buy

the dip opportunity because no matter

how you look at it Tesla's the only

profitable EV company that exists in

quite frankly North America it is not

only an EV company but we we know this

already it's also a technology company

whether it's full self-driving or some

of the other benefits that come with

Tesla or the energy whatever we don't

even have to go through the list of all

the things that Tesla is what matters is

that ultimately this sort of drama that

Elon is stirring up is probably not

without forethought elon's pretty good

at saying things on Twitter and then

regretting them but when it comes to

Tesla

stock there's often some forethought

with what he's doing even 420 funding

secured in my opinion even though you

know the SEC is kind of like hey hey

wait a minute wait a minute you

shouldn't be doing that in my opinion

that was a ploy to burn short sellers

there's always this extra kind of

thought that he's got going on is Elon

really going to try to rug pull Tesla

and and somehow say that's it I'm taking

all of the AI team and creating another

startup no he would get sued to Oblivion

it's not g to happen it would get like

there's no way I think they could pull

that off I'm not even remotely concerned

about that I think the odds of Elon

being able to strip Tesla of the amazing

things that it has done and the amazing

things that it is growing in the

startups that are part of the company

now are about 1% so that means I think

there's a 99% chance whether Elon gets

more stock comp or or or not like

Tesla's staying Tesla Optimus is staying

at Tesla Dojo is staying at Tesla the

energy seor staying at Tesla FSD staying

at Tesla all the AI at Tesla is staying

at Tesla okay that's really important

now does that mean Tesla's going to get

all of Twitter's AI through grock no of

course not these these are very separate

okay and that's okay it's not like

anybody's really trying to price in the

potential benefits of of grock over at

Tesla or really shouldn't be anyway so

from a practical and fundamental point

of view am I really worried about this

drama affecting Tesla stock long long

term no besides usually elon's stock

based compensation plans are ridiculous

like both for the investors and for him

like he gets paid a lot when they vastly

outperform expectations so realistically

could Elon get a stock-based comp plan

that's like hey if you get Tesla's

market cap to five Trill we'll get you

back to 25% ownership uh yeah totally

and then he's a trillionaire actually

it' be more than a trillionaire right it

slightly over a trillion dollars uh of

net worth just from Tesla in that case

and that is some kind of stock comp plan

that I think is probably something where

shareholders are going to go you know we

get this drama and people like oh my God

oh my God elon's going to try to dilute

shareholders no the board's not going to

go for that elon's not even going to go

for that they're going to go for some

kind of stock plan that would either

include BuyBacks which I don't think so

because they're spending so much money

on on um Capital expenditures I do not

think they're going to go for BuyBacks

uh or they'll have some kind of

ridiculous growth targets that if the

valuation crosses X for say 90 days Elon

unlocks a trunch of stock options that

would get him closer to his goal of 25%

voting control again I don't think

you're going to see a second voting

class of shares I don't think you see

that either I think this is very simple

okay I'm just trying to put like the

reasonable hat on here like does the

drama we heard on Twitter really make me

fundamentally nervous about Tesla no

it's literally just Elon being Elon this

this is Elon like negotiates in the

public space all these kind of

negotiations with Tesla like Tesla price

Cuts or what everything is so public

immediately and it's one of the reasons

Tesla's so volatile most companies they

kind of they do these negotiations in

private but Elon leverages social media

to his benefit when it comes to burning

short sellers or putting pressure on the

board because obviously every Elon

Fanboy and girl is going to be like Bor

you need to take care of Elon and and

you know other like just normal everyday

investors are like what the hell why is

all of this happening right in front of

my eyes and then obviously Tesla Q is

like Market's finally realizing the

Stock's overvalued shorts will pay off

here

eventually it's just drama that's all

this is like no absolutely nothing here

fundamentally changes any any Tesla

investor should know based on history

that press tells us if Elon gets a big

stock comp plan that brings him to 25%

it is going to be handsomely rewarding

to Tesla shareholders so you should be

cheering it if it's anything like the

previous stock on plans because it

probably mean Tesla stock double triple

quadruples before he gets to that level

right and then maybe it actually

realigns elon's

incentives to get over the bird and

start focusing on on uh uh on Tesla a

little bit more uh but anyway this is

what I wanted to show regarding the

fibbies so while I've been filming this

video I've been watching this line just

get tested and tested and tested what's

really scary about this is this morning

on our uh stock market open live stream

which we do every day the market is open

on the stock market open live stream

channel I warned I go this is not good

Tesla is in no man's land we literally

have no support and like shortly after I

mentioned that what what ended up

happening look at

this literally the r

stops right above the the uh you know

after the Breakthrough of the uh

resistance which now becomes

support it has a little attempted

breakout which obviously fails and

rubber bands right back to the FIB and

we are literally dancing that FIB line

very very very important from a TA basis

that we do not have a full Candlestick

below uh this fiby line right here which

I just want to show you exactly where it

is

22126 we're basically right there right

now okay we we really need to close

above that today so you want Tesla to be

up about 1.1% today

okay knock on

wood uh so look again big deal all this

drama no it's Elon being Elon

negotiating in the public space he will

not be able to pull out all of the glory

uh that is in

Tesla you know this this is just

positioning and posturing are we getting

BuyBacks no are you're going to get

massively diluted well you already are

as a shareholder of anything basically

well with the exception of house hack

because we raised it one to one but

anyway um yeah look I mean the stock

market is dilution I mean you want to

see dilution go look at Neo for example

okay uh that doesn't mean you can't make

money in the stock market but there will

be dilution in the future uh Tesla will

probably raise money from shareholders

again whether it's more stock comp or or

directly funding operations which is

basically the same thing you you got to

realize that okay paying stock comp is

dilution and all of these companies pay

stock comp which makes sense because

employees who work for Tesla they want

stockhom duh Tesla's paying out almost

half a billion dollar in stock based

compensation last quarter 465 million

per quarter half a bill per quarter

going out in stock based compensation so

like totally normal but remember that

that is utive if you're a shareholder of

Tesla like you are paying for that

because if there wasn't half a billion

dollars of stock-based compensation

every quarter well I mean you could

argue that maybe the company wouldn't

expand its R&D or whatever as well uh

but you know if sales were to Hold

Steady the stock value should be higher

without that sort of dilutive uh but

anyway you could see the dance we

playing over here literally the entire

time I've been filming this video we've

been playing this dance over here and I

expect it to continue so we'll see what

happens anyway thank you so much that's

my take on the bird drama I mean the

Elon drama appreciate yall and uh thank

you appreciate you being here we'll see

you in the next one goodbye why not

advertise these things that you told us

here I feel like nobody else knows about

this we'll we'll try a little

advertising and see how it Go

congratulations man you have done so

much people love you people look up to

you Kevin PA there financial analyst and

YouTuber meet Kevin always great to get

your

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