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Description: Shares of Tesla (TSLA) tumbled Friday, extending losses after Thursday’s news that the Securities and Exchange Commission (SEC) filed a lawsuit accusing Tesla CEO Elon Musk of defrauding investors when he tweeted last month that he was considering taking the company private.

Source: YahooFinance.com – video report

Date: Sep 21, 2018

Link: https://finance.yahoo.com/news/tesla-shares-plummeting-following-sec-lawsuit-122749623.html

Questions for discussion:

Why have Tesla shares fallen?

  • What are the management issues facing the firm and investors?
  • How should management and investors respond to events?

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