The ongoing X and Elon Musk Transgressions Thread

[Wormius]

He is really a conglomeration of the worst characters in SV. Equal parts Belson, Bachman, and Hanneman.

[PeteMoss]

Originally Posted by Azure

Its obviously working at Tesla as well.

Charlie Munger just yesterday called Tesla a small miracle. High praise from a guy who might know a thing or two about business.

The fact that people can't accept this just speaks to their lack of understanding of what is actually takes to run multi-billion dollar companies. Musk actually does.

I do agree that his way of operating probably won't work at a strictly software company like Twitter. Or that he's making good decisions.

Saying being good at certain businesses makes you good at all businesses is like saying Mario Lemieux would be an elite basketball player because they are both sports.

[1qqaaz]

Mario Lemieux very likely would be a better basketball player than 98% of us though.
He's tall, works hard, and is extremely athletic.

[Sliver]

Originally Posted by 1qqaaz

Mario Lemieux very likely would be a better basketball player than 98% of us though.
He's tall, works hard, and is extremely athletic.

Sure, but the implication in the analogy isn't that he's going to be playing against us; it's that he'll be playing against guys in the NBA.

[afc wimbledon]

People need to realize Twitter wasnt losing money nor were staff numbers or activity a problem, Musk just paid too much for the company, way way way too much, Twitter makes a billion a year or so, as a company maybe worth 5 or 10 billion, that way the profit covers the loan, Musk being an idiot paid too much, what he is losing money on is the loan on the 44 billion, nothing he does at Twitter will fix that

[Fuzz]

Originally Posted by Enoch Root

TSLA's market cap is $613B

GM's is $57B

I would like my company to buy Royal Bank, but the math isn't my friend.

So still overvalued by at least 10x? OK!

[nfotiu]

Originally Posted by afc wimbledon

People need to realize Twitter wasnt losing money nor were staff numbers or activity a problem, Musk just paid too much for the company, way way way too much, Twitter makes a billion a year or so, as a company maybe worth 5 or 10 billion, that way the profit covers the loan, Musk being an idiot paid too much, what he is losing money on is the loan on the 44 billion, nothing he does at Twitter will fix that

Where do you get that from? Their financial statements look like they've been losing money for about 3 years.

https://finance.yahoo.com/quote/TWTR/financials/

[Yikes]

Originally Posted by afc wimbledon

People need to realize Twitter wasnt losing money nor were staff numbers or activity a problem, Musk just paid too much for the company, way way way too much, Twitter makes a billion a year or so, as a company maybe worth 5 or 10 billion, that way the profit covers the loan, Musk being an idiot paid too much, what he is losing money on is the loan on the 44 billion, nothing he does at Twitter will fix that

I don't know if those values are true or not but...what you have in twitter is a platform without any tangible product creating a revenue base...seems that 100% of revenue is in the form of advertising and now maybe some billing for services (the blue check). 5 or 10x value to profit on revenue speculation seems like a stretch? Having said that, Wall street will always find a way to spin nothing into something.

[Matata]

I wonder if Elon got the big bamboozle by the big investment firms that used to own twitter. Turning a fledgling asset into a 10x return is an all-star move, it's hard to think that happened without them noticing or participating.

[JohnnyB]

So according the WSJ Musk is apparently going to find a CEO to replace him at Twitter. That's for the best.

[photon]

So this was all a good cop bad cop setup so the new CEO could come in and be the good guy? Probably a good plan with that kind of reductions.

Or maybe he just realized he can't mangle Twitter AND spend all his time in court which I think is what his calendar is like soon isn't it?

[Fuzz]

Pressure from Tesla shareholders with him being absent.

[afc wimbledon]

Originally Posted by nfotiu

Where do you get that from? Their financial statements look like they've been losing money for about 3 years.

https://finance.yahoo.com/quote/TWTR/financials/

sorry, they were trending into profit in 2018 and 2019, Covid nailed them back to a loss of 1000 in 20, that was reduced to a loss of 200 in '21, it is reasonable to assume they would be back in black in a year or so, the development and start up costs have been covered, it should as a company be a modest earner

[PepsiFree]

Originally Posted by Fuzz

Pressure from Tesla shareholders with him being absent.

He’s the richest man in the world, Fuzz. He knows a thing or two about running a billion dollar business, certainly more than those “shareholders.” If the man says he doesn’t need to be there, he doesn’t need to be there.

[JohnnyB]

Originally Posted by photon

So this was all a good cop bad cop setup so the new CEO could come in and be the good guy? Probably a good plan with that kind of reductions.

Or maybe he just realized he can't mangle Twitter AND spend all his time in court which I think is what his calendar is like soon isn't it?

I think he's shown he can mangle it pretty well.

[Wormius]

He has shown why he can’t be in an active leadership role. He’s really poor C-level material.

[afc wimbledon]

Originally Posted by Yikes

I don't know if those values are true or not but...what you have in twitter is a platform without any tangible product creating a revenue base...seems that 100% of revenue is in the form of advertising and now maybe some billing for services (the blue check). 5 or 10x value to profit on revenue speculation seems like a stretch? Having said that, Wall street will always find a way to spin nothing into something.

I was just assuming 5 to 10 x profit as an absolute upper limit on value, certainly paying 44x annual profit is an insane over valuation and the cause of his problems in a rising interest rate market and a world recession, the mans a moron basically, he should have paid anything to get out of the purchase, the real genius is Dorsey

[Yikes]

Originally Posted by afc wimbledon

I was just assuming 5 to 10 x profit as an absolute upper limit on value, certainly paying 44x annual profit is an insane over valuation and the cause of his problems in a rising interest rate market and a world recession, the mans a moron basically, he should have paid anything to get out of the purchase, the real genius is Dorsey

Jack Dorsey...wonder if the co-founder makes a return to CEO ala Steve Jobs and Apple?

[FormerPresJamesTaylor]

Originally Posted by Yikes

Jack Dorsey...wonder if the co-founder makes a return to CEO ala Steve Jobs and Apple?

Imaging selling your house, being asked to return as property manager and the new owner set it on fire.

[afc wimbledon]

I dont see how anything helps frankly, there isnt anyway to make Twitter pay off a 44 billion loan, there wasnt before Covid, depending on how the loans are structured bankruptcy is the only move that makes sense which is what I suspect he is setting up