What happened
Tesla (TSLA 3.53%) reported record fourth-quarter and full-year 2021 earnings late last month but just filed its full annual report with the Securities and Exchange Commission (SEC) this morning. Tesla shares moved as much as 2.6% higher early this morning. But as of 11:22 a.m. ET, the stock had lost those gains and was 0.7% lower than Friday's closing price.
So what
The early jump in shares came as the tech-heavy Nasdaq Composite index led the market higher this morning. But the stock may have lost those gains as investors poured over the 10-K filed with the SEC this morning.
In the annual report, Tesla revealed that it has again received a subpoena from the SEC regarding CEO Elon Musk's social-media communications. The latest subpoena came in November 2021, when Musk triggered a stock sell-off after posting on Twitter, asking his followers whether he should sell 10% of his Tesla stock holdings.
Image source: Tesla.
Now what
Tesla said it received the SEC request "seeking information on our governance processes around compliance with the SEC settlement, as amended." That comes after the company agreed to a 2018 settlement with the regulator over a Musk Twitter comment on taking Tesla private. The company subsequently agreed to have its lawyers vet public communications from Musk that contain material information about the company.
After Musk's post asking about selling shares of his stock, Tesla shares dropped 15% over the course of the next week. The company didn't expand on its latest run-in with the regulatory agency beyond the fact that it received the subpoena.
The company had previously reported its business results to investors, saying it capped off a record year with fourth-quarter net income of $2.3 billion. That brought total 2021 net income to $5.5 billion on revenue of almost $54 billion. The company also said it believes it can increase vehicle shipments at an annual rate of about 50% over a mulityear period.
