Elon Musk Sees Long-Term Potential In Twitter Despite 'Obviously Overpaying' For It

Tesla Inc TSLA CEO Elon Musk said Twitter Inc TWTR is an asset that “languished” for a long time but he sees potential in it nevertheless. 

What Happened: Musk’s comments came at Tesla’s third-quarter earnings conference call on Wednesday.

The entrepreneur said, “Myself and the other investors are obviously overpaying for Twitter right now. The long-term potential for Twitter in my view is an order of magnitude greater than its current value,” reported Reuters.

The Tesla CEO said he was excited about the upcoming acquisition of the Jack Dorsey-founded platform, according to the report.

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Why It Matters: This month, Musk reinvigorated an abandoned $44 billion attempt to purchase Twitter at $54.20 per share.

He previously hinted at the creation of ‘X’ a super-app and said Twitter is an “accelerant” in the creation of such an app of everything. 

Tesla’s third-quarter revenue came in at $21.45 billion, a rise of 56% year-over-year beating analyst estimates of $21.96 billion, according to Benzinga Pro data. 

Price Action: On Wednesday, Tesla shares fell 6.25% lower at $208.16 in extended trading after closing 0.8% higher at $222.04. On the same day, Twitter shares rose 1.4% in after-hours at $52.55.

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