00:00It's taken a turn for the worse over at Tesla.
00:03Share prices for the electric car maker headed by Elon Musk plunged by 22% just in April.
00:09That's over $140 billion in market cap.
00:12And that's taken a toll on Musk's net worth, down $23 billion to $164 billion,
00:18still making him the second richest man in the world.
00:21Part of the problem, smaller profits and greater spending.
00:25According to Website Insider, Tesla has cut car prices six times this year.
00:29The Model 3 now cost less than $40,000, when just months ago, that same car cost over $62,000.
00:35While first quarter deliveries hit a record, it still fell short of some Wall Street estimates.
00:40Profits were down 24% in a year, shocking investors and causing the sell-off.
00:45One strategist predicts Tesla's stock will crash another 83% to just $28.
00:51The question for investors, will the price cuts and the tease of more to come to lure in customers
00:56help or hurt the company in the long run?
Comments