During their recent episode, Taylor, Carlisle, and Brewster discussed Some Stocks Trade Like Apartment Blocks And Others Like Rembrandts, here’s an excerpt from the episode:
Tobias: Speaking of big pay packages, what’s Musk’s chances of getting that across the line, do you think? What’s he got? Is it like $50 billion or something?
Bill: I think it’s quite high, actually.
Tobias: What do you guys think about that?
Bill: I don’t see why they didn’t let the first pay package stick. I didn’t do enough research on this, but assuming that people legitimately voted. The pay package is the pay package.
Tobias: Yeah, it was approved.
Jake: I think I agree. It’s not really the government’s job to abrogate contracts like that.
Bill: Yeah. And come out and be like, “You got paid too much.” Like, “What?” I don’t like that world.
Jake: No.
Bill: You don’t like it, you don’t have to participate. That’s always been our take on this pod, I think. We’ve never liked it,-
Tobias: That’s right.
Bill: -we haven’t participated.
Tobias: It’s a big dollar. That stocks done fairly well too.
Jake: Yeah. [chuckles]
Tobias: That’s what happens.
Bill: Yeah.
Tobias: It’s exponential.
Bill: Look, the stock price manipulation that I perceived to have gone on there is not—
Tobias: Well–
Bill: That’s where the government should get [crosstalk]
Tobias: Yeah. No one’s ever done anything about that. Nothing’s ever come of any of that.
Bill: Yeah.
Tobias: It does look like there’s some odd call buying. But I don’t know if that’s necessarily internal to the company as to-
Jake: If you’ll have time.
Tobias: -people who are excited about the prospects of the stock in the very short-term.
Bill: That’s where I think the government should look into things. If there’s nefarious things going on, then I understand clawing back the pay package or going after that. Just the facts as they are, at least on the surface, I don’t think warrant like clawing back someone’s pay. Gavin Baker just had a long Thread about why he supports it. I talked to my buddy who owns it. He put a huge portion of his net worth into Tesla six, seven years ago. He voted for it and he was like, “I want Elon to have the money.”
Jake: And now he doesn’t talk to you anymore. [laughs]
Bill: No, he actually does. He’s a nice guy. But he must not have any other friends.
Jake: [laughs]
Tobias: What about redirecting the chips from Tesla to the AI startup? You think that was a little threat?
Bill: Oh, I have no idea about Elon, and what he does, and what he says and how he’s thinking. I’ve long stopped thinking about it.
Tobias: I can’t believe that the CEO of a company has that much discretion over, whether the company that’s contracted for the chips gets them. That just doesn’t make any sense.
Bill: Well, to the best of my knowledge, it seems like we live in a world where if you make a lot of money for people, corporate governance doesn’t matter at all.
Tobias: You’re forgiven.
Bill: It’s the ones that don’t work out that people care about, I guess.
Jake: Yeah. It seems like they only show up after the horse as well, and gone out of the barn and the barns already burned down.
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One Comment on “Some Stocks Trade Like Apartment Blocks And Others Like Rembrandts”
Not sure I agree with those guys, $50 Billion is more than Tesla has ever made in its history, the directors are buddies with Musk and not doing their fiduciary duty to the shareholders.