Jury finds Elon Musk liable for Twitter stock drop during 2022 buyout

Investors accused Musk of deliberately driving down Twitter's share price during his takeover bid.

Mar. 21, 2026 at 11:04am by Ben Kaplan

Got story updates? Submit your updates here. ›

A California jury has ruled that Elon Musk is responsible for the decline in Twitter stock during his 2022 takeover bid, siding with investors who accused him of deliberately driving down the share price. The verdict followed a trial in federal court in San Francisco, which examined whether Musk's public comments about the "bump in the road" during the acquisition process negatively impacted Twitter's stock.

Why it matters

This ruling could have significant financial implications for Musk and set a precedent for how executives are held accountable for their statements during major corporate transactions. The case highlights the scrutiny faced by high-profile business leaders and the potential legal consequences of their public communications.

The details

The jury found that Musk's statements about a "bump in the road" during the Twitter acquisition process were intended to drive down the company's stock price, which ultimately resulted in losses for investors. Musk had argued that his comments were simply reflective of the normal challenges involved in a complex deal, but the jury sided with the plaintiffs who accused him of manipulating the market.

  • The trial took place in federal court in San Francisco in March 2026.
  • Musk made his comments about a "bump in the road" during the Twitter takeover bid in 2022.

The players

Elon Musk

The CEO of Tesla and SpaceX, who attempted to acquire Twitter in a $44 billion deal in 2022.

Twitter

The social media platform that was the subject of Musk's failed takeover attempt in 2022.

Got photos? Submit your photos here. ›

What’s next

Musk is expected to appeal the jury's decision, which could lead to further legal proceedings and potentially impact the future of his business dealings.

The takeaway

This case highlights the importance of transparency and accountability for corporate leaders, particularly when making public statements that can impact the financial markets. It serves as a warning to executives that they may be held legally responsible for their actions and communications during major business transactions.