Elon Musk raises hopes for a Tesla stock buyback with a one-word tweet to 3rd-biggest shareholder

Elon Musk.
Elon Musk fueled speculation that Tesla could soon announce its first-ever stock buyback. 
Responding to a tweet from a top Tesla investor who said only a buyback or a doubling in profit could break the stock’s slump, Musk said “Noted.”
Leo KoGuan, who says he is the third largest individual Tesla shareholder, has previously called for a buyback of $5 billion this year and $10 billion next year.

Elon Musk added further fuel to speculation that Tesla could buyback stock for the first time.

On October 3, Leo KoGuan — who claims to be the EV maker’s third-largest individual shareholder — tweeted, “Tesla is having PE ratio compression that can be solved only by buyback and/or by 2x earnings increase.”

On Thursday, Musk replied “Noted.”

KoGuan previously called for a repurchase when shares were falling in May. At the time, he said Tesla should announce plans for a $5 billion buyback this year and a $10 billion buyback next year.

On Friday, Tesla stock was down 6% at…

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This article was written by [email protected] (Insider Inc.) and originally published on markets.businessinsider.com