Tesla (NASDAQ:TSLA) looks set to close out the first month of January 2022 the same way it began. After a month of constant turbulence and plenty of concern from skeptics, TSLA stock is enjoying a day of growth, showing patterns similar to what we saw last year. Last week, the company finally reported earnings, and despite some concerns regarding CEO Elon Musk’s priorities, investors have plenty of cause for optimism as the electric vehicle (EV) innovator pulls into a new month. Recent events indicate that Musk has sights set on some pretty big things that investors should be following.
What’s Happening With TSLA Stock
Markets are still reacting to what Tesla reported on its recent Q4 earnings call. What the company reported was generally positive, especially the fact that it beat analyst expectations in both adjusted earnings and revenue. However, TSLA stock fell the next day as EV stocks plunged across the board.
Today, it has recovered nicely. As of this writing, TSLA stock is up more than 9% for the day, showing a pattern of steady growth since markets opened. Shares that began today trading at $872 are not trading at $925. TSLA is only in the green by 1.18% for the week, given the setbacks it suffered on Friday. It remains in the red by more than 12% for the month. However, if recent reports are any indicator, we may see Tesla regain a comfortable lead in the EV race soon.
Why It Matters
While TSLA stock was declining on Friday, conservative commentator Dinesh D’Souza took to Twitter and issued a challenge for Musk. The Tesla CEO responded with some interest.
Interesting ideas
— Elon Musk (@elonmusk) January 28, 2022
It’s impossible to say how serious Musk is about any of the ideas proposed by D’Souza. He may not be serious at all. That said, if we know anything about Musk it is that he enjoys social media. Starting your own social media network could become a trend within the years to come, depending on the success of former President Donald Trump’s Truth Social. While the actual platform has yet to launch, the market success of its blank-check partner Digital World Acquisition Corp (NASDAQ:DWAC) is undeniable. Musk could see that as a new area in which he could cash in.
For someone like D’Souza to propose Musk buying a major media network is hardly surprising. Conservatives wanting to see the mainstream media disrupted, particularly those accused of having a liberal bias, is hardly new. In recent months, Musk has issued criticisms of liberal politicians such as Bernie Sanders (I-VM) and Elizabeth Warren (D-MA) over Twitter, making it clear that he enjoys mocking them. He’s definitely someone who could shake up the media landscape if he chose to.
Billionaires buying media outlets is a growing trend. Amazon (NASDAQ:AMZN) founder Jeff Bezos purchased The Washington Post because he believed “in the mission of journalism.” While Musk may have other plans for such an acquisition, the prospect of owning such a powerful outlet could be tempting. His and Bezos’ rivalry has come to define the U.S. business landscape in recent years. Musk has a higher net worth, but he seems to want the type of power that comes from having Bezos’ reach across industries.
It’s also been reported that Musk has criticized the U.S. educational system. Therefore, it wouldn’t be beyond the realm of possibility for him to turn his attention to starting an institution to help provide the type of education he thinks is needed. Any of these proposed ventures could certainly help elevate TSLA stock. The question is to what extent and for how long.
What It Means for TSLA Stock
It should also be noted, though, that Musk has plenty of responsibility at his current companies. He’s made it clear that Tesla is pushing forward with improving production capacity. This might not be the best time for him to turn his attention to other ventures. TSLA stock is doing well right now, but for it to continue rising will require growth from the company.
For now, all we can do is wait and watch both the company and its leader. In the short term, Musk should be focused on helping Tesla grow and scale operations. For the time being, it seems as though he is. Any plans sparked by D’Souza’s tweet could be years down the road. However, if they were to come, they could certainly yield positive results for TSLA stock.
On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
