Capitalistpig Hedge Fund’s Jonathan Hoenig and FoxNews.com automotive editor Gary Gastelu analyze the recently released Tesla earnings report.
Elon Musk has become one of the richest people on the planet, so why isn’t he paying the rent at his fancy showrooms that display Tesla cars?
Continue Reading Below
Sources have told FOX Business’ Maria Bartiromo that Musk has tried to arrange a deferment of rent at some of his 80 showrooms here in the U.S. At least one of them here in New York said, “No, we cannot defer the rent.”
But instead of paying the full $700,000 a month in rent for the past four months, Musk has paid only half of that, apparently promising he’ll pay it off in August.
CLICK HERE TO READ MORE ON FOX BUSINESS
Some are speculating it’s a scheme to save as many millions as possible in the past three months so Tesla could show a profit for the fourth quarter in a row and be eligible for inclusion in the S&P 500.
Deferring half a million dollars here and half a million dollars there would certainly move the needle on earnings: The company reported net income of $104 million in the three months through June.
