Will Elon Musk‘s stock price sank like it did in 2021 when he took over PayPal? That might be one question to wonder about after the fact, but it seems highly unlikely. As I have written before, one of Musk’s passions is technology, and that seems to be the reason why he has chosen to get into this business rather than getting into another one. Still, some people believe that his other passions, like solar energy and electric cars, might have been caused for him to lose sight of his goal of making an absolute fortune with one of these companies.
Is it possible that Musk will get into trouble with the SEC? This is something to consider, because you never know what might happen in the future. One of the reasons I agree with those who say that Musk might get into trouble with the SEC is that if he is unable to convince regulators and shareholders to buy into his plans, he might be forced out. There are investors who are very frustrated with the slow pace at which Musk is moving, but it could take him awhile before he gets it going.
Now, we all know what the potential downside would be if Musk doesn’t make his plan and secure the funding that is needed to make his dreams a reality. He might get into trouble with the SEC, and then he might not be able to continue on with the growth of his company. That would be a tough pill to swallow for those who want to see their stock price rise and reap the rewards of increased market share.
Will Mr. Musk find it difficult to convince regulators and shareholders to buy into his plan for making rockets and spaceships? It might get difficult, although that is probably where most investors would put their money if they were thinking about such a large investment. But even so, the short answer to the question “How will he get into trouble with the SEC?” is not too optimistic.
In fact, the answer might get worse. The worst possible thing that can happen is that investors might give up on the stock, and with that comes the possibility of a sell-off. No one wants to have to start from scratch, and the uncertainty of what the SEC might come up with next in terms of enforcement makes some people uncomfortable. Of course, if Mr. Musk can show that his plans to go somewhere, then he may be able to attract more investors, thus helping to stoke the flames of the Space Race, thus making his stock price rise higher.
And, as long as Mr. Musk remains in charge of PayPal, he might be in luck. If he can show investors that he has an idea for a successful business, then he has a leg up on his competitors. But, Mr. Musk’s competitors are not all that bright, and they are not interested in providing Mr. Musk with a roadmap for success, so you can probably forget about that. Still, Mr. Musk is no dummy, and he knows that something may happen in the future, and he knows what he would do if that happens. He may not be so lucky next time, but he will be prepared. That is probably the best that can happen.