Thursday, March 02, 2023
Too Much Vision, Not Enough Facts
Elon Musk held an investor day for Tesla, and it failed. Stockholders and analysts were looking for facts and details focused on how the company plans to move forward. They didn't get them. They got Musk's vision for the future, which was hazy on specifics. So, Wall Street punished the poor communication by knocking Tesla's stock by five percent at the end of the trading day. There is a time for painting a scenario of coming months and years but investors are impatient. They want to know what a company is doing now to achieve it. High-flown phrases are lost o them. They look through words for hard-edged reality. This should be a lesson for Musk and for financial communicators everywhere, but it won't be. Some CEOs never learn.
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