Tesla (TSLA) Stock: The $26 Billion Problem Nobody’s Talking About

TLDR Tesla shares fell 13% in November as retail investors continued buying during the decline A Delaware Supreme Court ruling on Musk’s 2018 pay package could trigger a $26 billion profit hit The potential charge equals more than half of Tesla’s total net income since becoming profitable in 2019 Tesla stock trades at 180 times estimated 2026 earnings compared to 25 times for tech peers Retail investors rotated into Tesla and tech stocks this week before Thursday’s market reversal Tesla shares extended their November slide as retail investors who purchased during the dip now face mounting losses. The stock closed Thursday at $395. 04, marking a 13% decline for the month. Tesla, Inc., TSLA Through Friday, Tesla stock was down approximately 2% year to date. The shares have gained 16% over the trailing 12 months. JPMorgan data shows retail investors actively bought Tesla shares this week. They pulled money from healthcare, industrials, and consumer staples to fund purchases in tech stocks. The buying strategy worked well throughout 2025 until this week. Thursday’s market reversal left many retail investors holding losses on recent purchases. Delaware Court Decision Looms Large Tesla faces a more pressing financial concern than short-term stock movements. The Delaware Supreme Court will soon rule on Musk’s 2018 compensation package. A lower court invalidated the package last year. The judge ruled that negotiations were compromised due to board members’ ties to Musk and their own excessive compensation. If Tesla loses its appeal, the company must account for a replacement stock package at current prices. This creates a $26 billion charge that would hit profits over two years. The amount represents more than half of Tesla’s cumulative net income since 2019. That’s when the company first became profitable. Tesla would need to recognize the expense by August 2027. Spreading $26 billion over eight quarters means $3. 25 billion per quarter in charges. This quarterly expense exceeds Tesla’s actual net income in 21 of the last 25 quarters. The impact would be substantial on reported earnings. Accounting Rules Create Profit Pressure Tesla doesn’t need to pay cash for the stock compensation. The company can simply issue new shares to Musk. However, accounting standards require booking stock compensation as an expense. The logic is that Tesla could have sold those shares on the open market instead. If the Delaware Supreme Court sides with Tesla, Musk keeps his 2018 stock options. The company would avoid additional accounting charges. Those options are currently valued at $116 billion. Brian Dunn from Cornell University said the profit impact signals poor board oversight. He described it as a wealth transfer from shareholders to the company’s largest shareholder. Valuation Gap Widens Tesla stock trades at a premium to tech industry peers. The company’s shares command 180 times estimated 2026 earnings. Amazon, Microsoft, Alphabet, and Meta Platforms trade for an average of 25 times earnings. These companies are building data centers for AI computing. Tesla is developing AI applications including self-driving cars and robots. Revenue from these products hasn’t materialized yet. The company currently faces headwinds from declining car sales. Electric vehicle subsidies are disappearing in key markets. Development costs for projects like humanoid robots continue rising. Tesla disclosed that a failed appeal could materially impact its business and earnings. The board has warned that losing the case might cause Musk to leave the company.
https://blockonomi.com/tesla-tsla-stock-the-26-billion-problem-nobodys-talking-about/

Best Crypto to Buy Now as Traders Eye Dogecoin Recovery Following Elon Musk’s Tweet

Elon Musk reignited Dogecoin fever after tweeting, “It’s time,” instantly reminding the crypto world of his famous 2021 promise to send “a literal Dogecoin to the literal moon” through SpaceX’s DOGE-1 mission. However, this time, the market did not respond as expected.

Crypto prices fell sharply, with Bitcoin dropping toward the $94,000 level, pushing sentiment into Extreme Fear. This broad market pressure held Dogecoin (DOGE) back and pushed traders to search for stronger opportunities. Although Musk’s tweets often attract liquidity into meme coins, DOGE remains stuck below the $0.20 zone during the crash.

Because of this, traders are now looking for the best crypto to buy—focusing not on DOGE itself but on alternatives that can capture sidelined momentum and offer higher upside. Maxi Doge (MAXI) fits this shift by giving traders a utility-backed meme option at presale pricing, while DOGE struggles to move.

### Dogecoin Slips as Musk’s New DOGE-1 Hype Fails to Spark a Rally

Elon Musk’s long-running fascination with Dogecoin has often been the strongest force behind its price action. His public mentions played a major role in the meme coin’s massive 13,000% run in 2021. Musk has called himself “The Dogefather,” changed his X bio to “Former CEO of Dogecoin,” praised DOGE as “the people’s crypto,” and even joked that it could become the currency of Mars.

Because of this history, traders closely monitor every comment he makes about the DOGE-1 mission. Planned by Canadian research firm Geometric Energy Corporation and funded entirely with Dogecoin, the DOGE-1 mission aims to gather lunar data and broadcast ads back to Earth. However, the mission has faced several delays. Initially scheduled for late 2023, it now targets a launch in the second half of 2026, according to Geometric CEO Samuel Reid.

In the past, a post from Musk would have sent DOGE climbing. This time, however, the token failed to react to the renewed hype and instead dropped about 10%, falling from roughly $0.19 to $0.16 during a market-wide crash. Buyers continue to defend this range, and volatility remains elevated. This muted reaction shows that broader market pressure has grown strong enough to outweigh even Musk’s usual ability to spark a rally.

### Dogecoin Price Prediction

Dogecoin (DOGE) has struggled to build momentum in 2025, with several sell-offs pushing its price below $0.17 and leaving it weaker than the broader market over the past month. The downturn intensified after a major corporate setback: CleanCore Solutions, a company holding a large DOGE treasury position, saw its stock plunge nearly 78% in a month due to heavy quarterly losses and DOGE’s declining price.

CleanCore’s shares, trading under the ticker ZONE on the NYSE American, fell to a record low of $0.3818, adding even more negative pressure to sentiment around the meme coin.

Despite this corporate-driven selling, on-chain data shows that Dogecoin continues to defend the $0.16 support zone. Buyers repeatedly step in at this level, which analysts now view as the key area DOGE must hold to attempt a recovery toward the $0.20 region.

While price action may look muted, analyst group Bitcoinsensus highlights a strong long-term reason for optimism. Their research shows Dogecoin is once again following its historical cyclical pattern—a structure that has repeated cleanly across past market cycles. DOGE often spends long stretches moving sideways with little excitement, but once the broader bull market takes off, it typically delivers its biggest gains in the late stages of the cycle.

Bitcoinsensus notes that Dogecoin has “never deceived” during late-cycle surges, suggesting another major rally could form once broader market strength returns.

However, for investors who do not want to wait for DOGE to complete its slow cyclical breakout, the strongest upside right now comes from low-cap alternatives.

### Dogecoin Weakness Pushes Investors Into Maxi Doge’s High-Growth Presale

Maxi Doge (MAXI) is quickly emerging as one of the best low-cap meme coins to buy right now. It offers traders a fresh alternative to Dogecoin and checks every box for a strong meme project—including humor.

Maxi Doge leans into a loud, high-energy theme built around a gym-lover, leverage-addicted Doge mascot, making it a perfect fit for traders who live on charts and caffeine. The project treats MAXI as a lifestyle token rather than a typical meme coin. It appeals to traders seeking big gains without whale-level capital.

Maxi Doge builds a community focused on shared strategies, fun challenges, trading contests, and a “never skip leg day” mindset. MAXI runs as an ERC-20 token on Ethereum and gives holders access to staking rewards, trading competitions, and partner events with futures platforms.

The project has already raised $4 million, while the token is still priced at only $0.000268. If meme coins remain active, MAXI looks ready to move higher once it lists.

Many crypto analysts have started paying attention to Maxi Doge, which is rare for a new project. Borch Crypto even called MAXI one of the best cryptos to buy for a possible 100x return after launch.

The token also offers strong staking rewards during the presale, giving holders up to 77% APY. Around 9.8 billion tokens are already locked, indicating that many buyers plan to hold long term instead of selling immediately.

With strong staking, growing hype, and steady fundraising, MAXI stands out as one of the most promising meme coin presales in the current market.

*Visit Maxi Doge [link]*

*Disclaimer: This article has been provided by one of our commercial partners and does not reflect Cryptonomist’s opinion. Please be aware our commercial partners may use affiliate programs to generate revenues through the links on this article.*
https://bitcoinethereumnews.com/crypto/best-crypto-to-buy-now-as-traders-eye-dogecoin-recovery-following-elon-musks-tweet/

Exit mobile version
Sitemap Index