Tesla (TSLA) shares tanked 4.8% to $352.45 on Thursday as Wall Street continues to voice its skepticism on Elon Musk's going private deal. The stock traded at $356 and change prior to Musk tweeting on Aug. 7 he was "considering taking Tesla private at $420. Funding secured."
The stock reached a high on Aug. 8 of $381.85 in the wake of Musk's bombshell.
Since then, Wall Street has panned Musk for the barrage of tweets. Not only doesn't Wall Street believe Musk can't secure $80 billion plus in high yield debt, but they have used the media spectacle to reiterate concerns on Tesla's fundamentals.
"Our concerns around the fundamentals remain consistent: sustainability of Model 3 gross margins entering 2019, uncertainty of the true level of demand for the Model 3 entering next year once the $7,500 credit declines, the status of the 420k net reservations, the unsustainable capital structure, and high valuation, in our opinion," said Needham 7 Co analyst Rajvindra S. Gill.
Musk has also drawn the attention of the Securities & Exchange Commission.
The Securities and Exchange Commission is reported by The Wall Street Journal to be making inquiries about Musk's tweet. The SEC wants to know whether the tweet was truthful and why the disclosure was made on Twitter, the newspaper reported.
More on Tesla's future from TheStreet here.