Tesla Out, Tobacco In: The Scandal No One Noticed Coming.
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How Tesla Misplaced its Spark: Shock as billionaire investor sells hundreds of thousands of {dollars} price of shares.
You’d suppose betting on electrical automobiles would nonetheless be cool in 2025. However one of many big-money hedge funds, Coatue Administration, simply gave Tesla the boot – promoting over half one million shares. In addition they trimmed their Nvidia stake, one other tech darling.
And what did they purchase as a substitute?
Philip Morris. Sure – the cigarette firm.
And surprisingly, this transfer wasn’t nearly income.
What’s ESG?
ESG stands for Environmental, Social, and Governance. It’s a sort of ranking system traders use to determine if an organization is “accountable.” Save the planet. Deal with staff properly. Be moral.
However ESG isn’t actually about what an organization does – it’s about how it presents itself. It’s about popularity.
And Tesla? Regardless of promoting electrical automobiles and constructing photo voltaic panels, it acquired slapped with a depressing ESG rating of 40.
In the meantime, Philip Morris – sure, that Philip Morris – scored a pristine 85.
Tesla’s Not “Inexperienced” Sufficient?
Tesla’s mission is to switch petrol automobiles with clear electrical ones. That ought to tick all of the inexperienced containers.
However ESG scoring isn’t that easy. It’s much less about precise affect, and extra about neat paperwork and good PR.
Tesla misplaced factors for being a little bit of a large number behind the scenes – employee disputes, lawsuits, and Elon’s social media antics. In addition they didn’t tick all the suitable “disclosure” containers of their reviews. That’s an enormous no-no in ESG land.
Are highly effective establishments quietly turning on Elon Musk as a result of they’ll’t management him?
Is Tesla being frozen out by the identical ESG traders who fortunately again oil, pharma, and tobacco?
Who actually advantages when Tesla’s shares drop – and who’s pulling these strings?
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