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Elon Musk Says He's Considering Taking Tesla Private; Tesla Suspends Shares As It is Expected To Make an Announcement (cnn.com)
Elon Musk said he's thinking about taking Tesla private. More specifically, he said he may buy back the company for $71.3 billion (at a share price of $420), and already has the funding to do so. From a report: Musk, the CEO and largest shareholder of the electric car maker, said on Twitter on Tuesday that he has secured funding from a private buyer. He implied that the funding values the company at $420 a share. The stock had been worth about $342 a share before Musk's tweet, and shares quickly jumped as high as $371.
The stock had climbed slightly earlier in the day after the Financial Times reported that Saudi Arabia has quietly built a big stake in Tesla. Tesla didn't immediately respond to a request for comment. About an hour and 20 minutes after the Musk tweet, trading in Tesla stock was suspended because the company was expected to release news. TechCrunch: Musk's hope, he later tweeted, is that "all current investors remain with Tesla even if we're private. Would create special purpose fund enabling anyone to stay with Tesla. Already do this with Fidelity's SpaceX investment." Musk, who said he would stay on as CEO, also seems willing to have a provision for retail investors, who have held Tesla shares prior to Dec. 31, 2016, to convert their shares into private shares. Musk, in response to a tweet, said he's "super appreciative of Tesla shareholders" and "will ensure their prosperity in any scenario." Musk has publicly mused about taking Tesla private before, saying in a 2017 Rolling Stone profile: "I wish we could be private with Tesla," Musk murmurs as they exit. "It actually makes us less efficient to be a public company."
Analysts speaking to Reuters said they believe Musk is serious. George Galliers of Evercore ISI, said, "I can't believe this is something to bluff or make fun of. Given his historic frustration with short sellers, analysts and certain parts of the press, it is perhaps also not surprising that he has given consideration to taking the company private."
Update: Elon Musk sent an email to employees on Tuesday to explain his rationale behind the move. He wrote: Earlier today, I announced that I'm considering taking Tesla private at a price of $420/share. I wanted to let you know my rationale for this, and why I think this is the best path forward. First, a final decision has not yet been made, but the reason for doing this is all about creating the environment for Tesla to operate best. As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla, all of whom are shareholders. Being public also subjects us to the quarterly earnings cycle that puts enormous pressure on Tesla to make decisions that may be right for a given quarter, but not necessarily right for the long-term. Finally, as the most shorted stock in the history of the stock market, being public means that there are large numbers of people who have the incentive to attack the company. I fundamentally believe that we are at our best when everyone is focused on executing, when we can remain focused on our long-term mission, and when there are not perverse incentives for people to try to harm what we're all trying to achieve. This is especially true for a company like Tesla that has a long-term, forward-looking mission. SpaceX is a perfect example: it is far more operationally efficient, and that is largely due to the fact that it is privately held. This is not to say that it will make sense for Tesla to be private over the long-term. In the future, once Tesla enters a phase of slower, more predictable growth, it will likely make sense to return to the public markets. In a tweet moments ago, Musk said, "Investor support is confirmed. Only reason why this is not certain is that it's contingent on a shareholder vote."
Analysts speaking to Reuters said they believe Musk is serious. George Galliers of Evercore ISI, said, "I can't believe this is something to bluff or make fun of. Given his historic frustration with short sellers, analysts and certain parts of the press, it is perhaps also not surprising that he has given consideration to taking the company private."
Update: Elon Musk sent an email to employees on Tuesday to explain his rationale behind the move. He wrote: Earlier today, I announced that I'm considering taking Tesla private at a price of $420/share. I wanted to let you know my rationale for this, and why I think this is the best path forward. First, a final decision has not yet been made, but the reason for doing this is all about creating the environment for Tesla to operate best. As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla, all of whom are shareholders. Being public also subjects us to the quarterly earnings cycle that puts enormous pressure on Tesla to make decisions that may be right for a given quarter, but not necessarily right for the long-term. Finally, as the most shorted stock in the history of the stock market, being public means that there are large numbers of people who have the incentive to attack the company. I fundamentally believe that we are at our best when everyone is focused on executing, when we can remain focused on our long-term mission, and when there are not perverse incentives for people to try to harm what we're all trying to achieve. This is especially true for a company like Tesla that has a long-term, forward-looking mission. SpaceX is a perfect example: it is far more operationally efficient, and that is largely due to the fact that it is privately held. This is not to say that it will make sense for Tesla to be private over the long-term. In the future, once Tesla enters a phase of slower, more predictable growth, it will likely make sense to return to the public markets. In a tweet moments ago, Musk said, "Investor support is confirmed. Only reason why this is not certain is that it's contingent on a shareholder vote."
Dude, he's doing a Dell.
I should use this sig to advertise my book ISBN-13 : 978-1501515132.
I am sick of the trolls that are trying to destroy Tesla.
I prefer the "u" in honour as it seems to be missing these days.
I don't if it's the regulatory environment or what driving the trend towards privately owned companies, but every time one goes private there's less ability for common small investors to benefit from wealth generation. I'm just a worker with a 401K, and I'd like to get the returns needed to retire on my investment income. Events like this make it slightly harder to do.
I just bought more shares this morning, just in under the wire it appears. Debated waiting until it fell a little more but obviously good not to wait! Will be interesting to see what happens.
In a case like this I wonder what happens to short positions? Is it basically like the stock value is suddenly $420 (PS rolling eyes at obvious drug reference) and they have to settle up at that price? If so it's a last brutal "Fuck You" from Musk to the shorts.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
I'm not surprised Mr. Musk is doing this, he is clearly fed up with Wall Street and trying to meet their quarterly expectations rather develop the company and the products for the long term. I would think that dealing with analysts/quarterly statements and their (potential) fallout to be essentially overwhelming as well as causing the executive suite to try and maintain a positive outlook every twelve weeks.
Going private doesn't mean that the stress of creating the best product and making a profit goes away, just that more focus can be put on the company and its products which should result in better products and a better ROI for the company's owners at the end of the day.
I would expect other companies with long lead time products (Boeing, Ford, etc.) will consider finding private investors and taking themselves out of the exchanges so they can focus on their businesses and not making Wall Street investors happy.
Mimetics Inc. Twitter
While it is certainly his money (or investor's money) to do with what he will, but it seems as if it would be more prudent to use that kind of funding to accelerate production and research.
Otherwise Musk just committed a securities violation by lying about a potential private buyout.
it seems as if it would be more prudent to use that kind of funding to accelerate production and research.
Free of noise and short manipulation he'll have a lot more time and funds free to go into R&D.
Once could also argue this move is a massive marketing expenditure as without short backing, negative Tesla news stories will dry up like dust in the wind, and sales should soar ever higher...
Remember, he only has to actually spend money on people wanting to sell shares - the large majority of Tesla investors (like myself) would not be selling at $420, we'd continue to be private shareholders, so that would be part of the funding not spent that could be used further on R&D. So while he has $84 billion in funding to take TSLA private, he probably will only have to spend about 20$ of that on share buybacks and can put the rest into other efforts.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
this is a classic Enron.
Wrong - it's a classic Elon.
That is to say, thinking outside the box people are trying to trap you in.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Problem is, that Tesla likely did not take these ppl money. I would guess that nearly all of stock was sold to ppl that want Tesla to succeed. Otoh, the shorters, unions, GOP, etc came along and are working to destroy Tesla.
I prefer the "u" in honour as it seems to be missing these days.
Hopefully that 71.3 billion doesn’t include any significant portion of my retirement funds...
#DeleteChrome
So he wants to go private, but still have funds available to the public from which Tesla can raise money from? As what, debt?
You can complain about short sellers all you want, but they provide one very necessary function for the market: they guarantee someone will buy when everyone else is selling. You run off the short sellers, and all of the sudden you have a bear market, and there are no buyers, and the market grinds to a halt.
Every private owner who ever wants to sell their stock ever had better take the cash today, if this is a buyout offer. If he has written an "investment fund" plan that keeps people from being able to sue him for failing to perform a fiduciary responsibility, then you've pretty much signed away any right to get your money back if he feels like keeping it.
Unless this also includes a significant cash infusion via an ownership dilution, it won't help Tesla's cash burn rate either.
So you are saying that Musk WON'T be taking us to live on Mars?
I don't think you grasp what has happened. Must has secured enough funding to buy back every single share at $420.00 (ha ha Elon). Trading is suspended pending this announcement. Tesla is THE buyer now, and so is paying for any stock sales that will happen as part of the transition.
People who do not want to sell will be converted to private shares. So the only cash Tesla has to spend is on the shareholders that do not want to go private and get out - basically the short holders, plus probably some small number of people that consider $420 a great exit point to avoid any further risk.
were you asleep in econ 101?
Yes because I already knew everything they were teaching there from my own studies in grade school, but unlike you I actually attended economics and business classes beyond Econ 101 so I can understand what is occurring.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Musk, the CEO and largest shareholder of the electric car maker, said on Twitter on Tuesday that he has secured funding from a private buyer. He implied that the funding values the company at $420 a share. The stock had been worth about $342 a share before Musk's tweet, and shares quickly jumped as high as $371.
1. Go Public
2. Realise that the stock has been doing slightly left of nothing for a year now and you are losing money hand over fist as your stock underperforms.
3. Announce that sometime soon, some mystery money will appear and pay everyone a hundred dollars over market value for any TESLA stock.
4. Profit
Troll is not a replacement for I disagree.
It goes with his S3XY cars, you know...
Browsing at +1 - no ACs, I ignore their posts. So refreshing!
Why are you guys so focused on the "shorts"? What are they doing to Tesla? Nothing
Only funding a vast array of negative news about Tesla , no big deal right?
Basically from my angle, I just love to see people motivated by hate fail.
Suckers like you will continue giving him money and going private means he doesn't have to tell you what is going on
"Suckers like me" have made quite a lot of money from Tesla just through stock, and will likely make more going forward.
Why would I care what is going on day to day? I invest for what will be happening ten years from now, not to know what kind of bagels the CEo is eating or small yearly fluctuations. If you don't have a good guess as to how well Tesla will be doing ten years hence, you aren't much of a technologist and I would advise you to stick entirely to low-risk mutual funds. With your mindset, it seems like you would have shorted Tesla if you could have... zounds.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Elon posted a blog about it: https://www.tesla.com/blog/tak...
Looks like a great plan!
Accountability ... You see , when 50% or more of your investors are fund managers for 401k's they don't care a even a little about things like 'long term profitability' , 'company reputation' , customer service or product quality. The only question they ask is , will the stock value go up , so the portfolio will grow. They have no real interest in the product or serving the customer and that attitude is a dis-service to the whole of society. It may be time to consider some other corporate structures.
âoeTolerance applies only to persons, but never to truth. Intolerance applies only to truth, but never to persons.
When you work for a company, they tell you who administers your retirement. And they tell you what funds you can buy. Now, if your company uses Fidelity - a HUGE supporter of Musk (they invested in SpaceX) - you have pretty much no choice but to indirectly invest in Tesla
Since you appear to never have had a 401k let me explain how they ACTUALLY work.
Yes a company like Fidelity manages funds. But a 401k holder have a range of investment profiles or funds to select from within Fidelity - everything from domestic stock, to foreign stock, to super conservative funds, all the way to money market funds which have zero risk and very low returns.
So no, you don't have to assume risk from Tesla or SpaceX if you do not want to, just take the straight Fortune 500 funds, or the aforementioned low return money market funds (which many do nearer to retirement to avoid market swings affecting the possibility of retirement).
"There is more worth loving than we have strength to love." - Brian Jay Stanley
I see what you are getting at and I don't exactly care either, I too mostly say let people do what they want.
However in the case of Tesla it's gone a lot further than that, and into the realm of there being so many shorts and some of vast size, they were trying desperately to manipulate and lower the stock price, trying to drive the company out of business.
When you cross the line from "Well I'll bet the company will fold", to actually trying to cause a company with tens of thousands of employees to fail, then I get pissed off. You are affecting those who bet the company would not fail, but worse you are affecting the lives of a lot of people with jobs there.
You are going to see a remarkable shift in Tesla coverage over the coming years with nothing more to gain from short sellers, probably a few vindictive "I sat at thee from the depths of hell" level articles from those poor shorts who believed the lie the industrial short sellers were peddling than Elon would fail...
So I do feel a little sorry for shorts that were too small to actually affect public stock and news. But not too sorry because the mindset it takes to invest via shorts is a feel a fundamentally bad moral choice, and I would never use that myself - if I don't like a company I just don't buy from them, I don't actively bet on failure. It's really unhealthy to build any aspect of your life around negative mindsets, it bleeds into other aspects of your life and makes you an unpleasant person.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Exactly. I am not sure why I was modded "offtopic". Are people dense? Why do people think he keeps tweeting out "420" in response to media questions on Twitter?
elon gave a little bit of money to a few GOP. Big whoop.
OTOH, a large number of red states continue to work to block Tesla from selling in their state.
BUT, I suspect that with this going private, that investment money will be forthcoming, and Tesla will probably open up a NEW bid for a third GF in America.
At that point, any GOP politician that is fighting Tesla will likely have some explaining to do.
I prefer the "u" in honour as it seems to be missing these days.
1) They're quarterly calls, not yearly
2) It was Q1 of this year, not last year
3) There were two people. They were not "investors", they were analysts, both of whom had been pushing short theses (although only one was generally negative on Tesla as a whole). The the questions were - BTW - boneheaded. One of them was literally answered right at the top of the quarterly newsletter that everyone on the call was supposed to have read before calling in.
4) There actually was one person on the call (Galileo) representing actual retail investors, and Musk devoted half the call to answering questions from him.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
Elon has donated only slightly more to the GOP/Republican candidates than he has to Democrats/Democratic candidates. Generally his own reps and people on key congressional committees. Aka, for access (I hope that it doesn't shock your sensibilities to learn that members of your government pay more attention to you when you give them money, although I know you'll feign offense at the concept)
These donations in turn have been orders of magnitude smaller than he's given to organizations such as the Sierra Club.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
I've worked for a private tech company for 15 years. While I've been here we've grown 3x in revenue and employees (almost 5000 now). We regularly plan for 5 years from now -- never, ever have I ever heard someone think about the next quarter. It's be best outcome for the company and as an employee.
But I should back off. You've just lost a ton of money and I'm sure you want to vent. Come on. Shout. Shout. Let it all out.
Come on. I'm talking to you, come on.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
Yes. That is what I said. He donates to the GOP. I am not sure why you are talking about the Sierra Club or Democrats. He donates to the GOP. As for paying for "access" to politicians: that is a pretty scummy thing to do. I am surprised a person like you are on board with it, but I guess fanboys can rationalize anything.
Stock shorts serve a valuable social purpose which is to monetize accurate information that a corporation is overvalued, thereby incentivizing efficient pricing. But shorts can also play a roll in illegitimate scams, where an accurately-valued stock is shorted, then publicly badmouthed to drive down its price.
Not to name names here, but a lot of the outstanding Tesla shorts are held by the those with a documented record of engaging in the latter. These are not ethical people and one certain event that would mitigate against future massive financial losses from their outstanding short positions would be a drop in Tesla share prices if Elon Musk had an accident. To put it bluntly: The insane amount of money involved and the demonstrated lack of ethics of those who stand to lose it should make Musk worry about there being contract on his life.
Ceci n'est pas une signature.
Actually I should take that statement back: I AM invested in Tesla via some mutual funds I own. It makes no difference. I don't sit around and defend mega corporations just because I own a fractional part. Completely nuts.
So you've been ranting and raving all this time about how Tesla was doomed, yet you never actually held those beliefs strongly enough to put even a penny on the line? Basically, you were concern trolling?
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
No, I have been WARNING people like you that you SHOULDN'T INVEST in individual stocks, especially things like Tesla. The risk to reward is way too high. In addition, I am trying to make the point that Tesla is NOT a "green" company. They make tech toys for the 1%. If you are looking to invest "green", Tesla is not a good investment.
And I was wrong: I am "long" Tesla because some of the mutual funds I own have Tesla positions. It makes no difference to any of my points. There is nothing like trying to get through to brainwashed cultists. Plus I think Musk is a scumbag personally, but that is another matter.
It'll be quite interesting to see who sells large chunks of stock over the next few days. Particularly if this turns out to be yet another Elon will-o'-the-wisp.
What a pity I didn't listen to you ;)
Yes, it does. What sort of person who was convinced that Tesla was destined for imminent failure wouldn't take the "obvious" profits from that? What, was your checking account earning too high of an interest rate compared to doubling your money on Tesla's "obvious" collapse?
Let's say you weren't 100% convinced - you were just acting that way. Let's say you were only 90% convinced. Heck, let's say only 50% they were going bankrupt, 25% they'd decline but not go bankrupt, 20% that they'd hold even, and 5% that they'd rise (If so, good acting job, by the way, pretending to be way more convinced than you were). Are you saying you'd choose checking account-level interest over a 50% chance of doubling your money, a 25% of a huge return, a 20% chance of no return, and a 5% chance of a loss?
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
But you still flamed another AC above for stating the risk of investing with Fidelity after posting that.
Yes, because I wanted to invest specifically in just SpaceX, which I found I could not do. Meanwhile some idiot AC (no doubt your in-bread brother) thought all Fidelity 401K funds invested in Tesla or SpaceX which is so stupid I can't believe even you would believe it.
He was rightfully flamed and if he had an ounce of sense would remove himself from the internet until he is at least five years old.
I'll let you have that last response, apparently ignorant troll.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
No, I would never take that risk. I don't know if Tesla is going to fail or not. It could survive with more funding, or it could become profitable, or it collapse under its massive debt (most likely). I would never go long or short on it based on what I know. My point is people like you DON'T KNOW EITHER. But you are a fanboy, and keep posting Tesla stories and hyping the stock and talking in minute detail about Tesla (remember how many robots of which type they were going to add to production line X?). My main point is that you shouldn't be investing in Tesla, and impressionable people shouldn't listen to you and risk their money either. You might have gotten lucky with Tesla, but that is pure luck, you weren't investing. My guess is you haven't sold a single share which means you have ZERO profit, because there are no dividends. You are just a person who thinks Musk is going to take us all to Mars and lead us to the promised land. Ridiculous. You should find a better hobby than being a corporate cheerleader. Maybe join the Sierra Club or Greenpeace if you are interested in actually helping.
Typically if a majority of shareholders vote for going private, the transaction happens and minority shareholders are forced to sell at the specified price. They don't become shareholders in the private company.
Can you pig-fuckers really not read or what??????
JFC.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Just had a stop order trigger today at $379 ;) Only set them last week because it had become obvious that shorts were going to keep this stock highly volatile at least until the end of Q4, and I wanted to be able to profit on all of the ups and downs. Going to cancel the rest of the stop orders now. Obviously don't want to sell at lower than $420. Probably will put the money from the $379 sell back into an order at... not entirely decided yet, maybe a couple tiers around ~$370 and ~$360? I think the shorts might get it down that low. Musk could state that the sun will rise in the west tomorrow and they'd place bets on it rising in the east ;)
You didn't even have a 50% confidence they'd fail? Give us the number then. What was your actual confidence that they'd fail? 30%? 15%? 5%? 0%? Come on, let us in on it. I want to know that after all of this hyperventilating from you, how little confidence in your words you actually had.
Don't dodge this. After all of your ranting, how confident were you actually?
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
Ugh....
I was perfectly happy with that post until I realized that when I switched the order of the sentence "... shorts would place bets on the sun rising in the west if Musk told them it'd rise in the east" I forgot to switch the directions as well :P
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
I have a 80% confidence that Tesla will fail under its massive debt eventually and get bought out. But enjoy your corporate money. I am sure it will be useful on Mars when you and Bruce arrive to the promised land.
Bring on the jokes, I deserve them ;)
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
The current U.S.A. president?
(no idea, just asking)
#DeleteFacebook
You are just an obnoxious corporatist. Just don't pretend you are "green" or saving planet Earth. There are real humans working on doing that. Musk isn't one of them.
Musk could state that the sun will rise in the west tomorrow and they'd place bets on it rising in the east ;)
Unless SpaceX is going to change Earth's spin, that'd be a safe bet.
Corruption is convincing someone that the selfless ideal is the same as their selfish ideal.
Bad troll is bad.
He gives to both parties, just like anyone else with a shitload of money that wants to keep that same shitload of money. He very likely has to buy congress critters to fend off all the other bought congress critters from other interests that want to see Tesla / SpaceX die (GM, Ford, Boeing, Lockheed, ExxonMobil, etc.)
Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
$27,9 billion in assets. $22,6 billion in liabilities. Was there any reason why you handpicked only one part of the assets and liabilities lists? Also, any particular reason you didn't bother to mention the 60 day payment terms on accounts payable, that is to say, they build, deliver, and get payment for a vehicle before the bills for its production come due? No bothering to mention the nearly 20% margins they make on said vehicles? The fact that the Model 3 margins are without any AWD/P (significant extra profit) in the mix, despite them now being half of all new orders? Let alone natural margin increases as production scaleup and refinement decreases the depreciation and labour per vehicle? Not going to mention that the decline in cash in Q2 was less than the value of the vehicles in transit at the end of the quarter, held back for the 200k limit? Not going to bother bringing up the severence/restructuring costs that hit in Q2 turn into a cost savings in Q3 and beyond? Not going to mention that total Q3 production will be three times higher than in Q2, and if you doubt Tesla on this, may I recommend checking out the Bloomberg tracker?
Nah, that would all ruin your narrative. So please. Keep up the cherrypicking.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
Um, not a troll. He gives to the GOP. Buying "Congress critters" so you can "keep a shitload of money" is not good. Fucking pathetic fanboys.
In fairness, that's because in Q1 investor call, Musk said they removed the second set of terminals that would power the AWD from the batteries, and standardized on batteries that don't support AWD instead. Because they couldn't reliably and speedily make those batteries.
I mean, I'm not saying they won't be able to do so some day, but they gave up on doing it now.
Your ad here. Ask me how!
Huh? AWD didn't exist in Q1 (and certainly not before then). It was still in development. Not all options come out at the same time. We're still waiting on air suspension and the tow package.
The vehicle was designed from the beginning (including the battery pack) with the intent of having AWD, but that doesn't mean that it was ready yet.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
The batteries included a second set of terminals, planning for the future with AWD. In the call, Musk said they needed to remove some of the features of the batteries - including some padding and the second set of terminals, to be able to produce them reliably enough to approach his 5k goal.
Hence, the batteries produced now cannot support AWD.
Your ad here. Ask me how!
Nah. Live by the sword, profit nicely off the sword, sell the sword and go back to a life in a non-sword-related field.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
np. I read an SF book by a decent author, and he foobar'd the directions once. Got past him and the profreeders. OTOH, you've added grist to the mill for certain millers here who really really reilly hate you.
His ignorance covered the whole earth like a blanket, and there was hardly a hole in it anywhere. - Mark Twain
I'm sensing quite a bit of angst amongst the short troll crowd here. Good. Really the $420 price is a little bit of a gift. If Musk hadn't set a price, the stock could have gone up to $500 to $600 based on price speculation. That would have hurt! As it is, if you are leveraged, well then OUCH! Serves you right for peddling disinformation in a effort to destroy an innovative American company. Really I think trolls have a touch of psychopathy...you know, the same condition that in extreme cases afflicts serial killers. Well, if Tesla goes private, at least the trolls will mostly go away, as there won't be any profit in what they do.
This and no other is the root from which a tyrant springs; when first he appears as a protector - Plato (423 to 327 BC)
You're exceedingly confused.
They were trying to make only a single type of battery.
They created a second version of one minor part so that there are now two variants.
And that's where the story ends.
Creating a second version of one of the parts had no impact whatsoever on their ability to produce AWD batteries. The time it took before AWD was introduced was... time to develop and test AWD. For obvious reasons. AWD was actually introduced sooner than initially planned. It was never planned to be an early option.
Assuming ethanol comes from murdered children and the hydrogen from magic, hydrogen saves 132% more lives than ethanol.
Nobody ever said it was good. It's not good. But it's the way it is. A business of sufficient size must bribe^W donate to campaigns in order to not be regulated to death by all the bribes^W donations your competition pays.
It's a shit system, but it's the one we've got. And though it doesn't justify anything, I'll bet that any company that makes a product you enjoy, or any company you may have investments in also bribes^W donates to both political parties. Because that's what larger businesses must do to survive.
Why don't you go get incensed by that, instead of worrying whom an individual donates to? Also, what happened to the personal choice for someone to believe what he wants, and do what he would like with his money?
Is it cool with you if I have a difference of opinion, or have you been appointed the minister of what is acceptable for all by some fucking higher power?
Bad troll is bad. Go away.
Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
Then how are they shipping AWD versions?
You are wrong.
Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
offered the advice that Tesla should "water down" current shares by selling more stock now rather than when Tesla is in a financial crisis. The "FUD" they are "spreading" is to ask why Tesla isn't doing this sensible thing. No, people would not be screaming -- the share price and demand for the stock would support this, so why isn't Tesla doing it?.
I think giving money to the GOP (which is a disgusting organization) is a big deal. You fanboys can rationalize anything, but I can't side with a guy who gives money to the very people who are helping to destroy this country.
He's a businessman and the GOP has had a lock on Congress for years and put a corrupt narcissist into the Oval Office.
Elon may get away with calling a foreign diver a pedo but he dare not even hint that Trump would happily bang Ivanka like a screen door.
He's up against a lot serious players with much deeper and fighting lawsuits in multiple states to overturn dealership laws. He needs to at least try to placate those dangerous lunatics.
Pain is merely failure leaving the body
If you are just recovering from the .com burst, you are a bad investor. The stock market has doubled or more since 2000. You could have recovered with nothing but blue chip investments.
Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
Creating a second, inferior version of a part because you cannot produce the normal one at scale is indicative of the normal one, or things that require it, are not yet profit centers.
Your ad here. Ask me how!
(1) I'm not aware that they are shipping AWD versions, just taking configurations for them.
(2) The battery problem was "shipping at scale", so they should be able to ship some AWD units.
Your ad here. Ask me how!
in the absence of that regulatory environment your 401k wouldn't be worth the paper your statements are printed on. Those regulations exist for a reason. Small investors were getting robbed blind until they were made. Sad thing is Trump & co removed some Obama era rules that required investment houses to always act in the interests of the client. They've also (with the help of both parties) removed the last of the regulations passed post 2008 to prevent another crash. Time will tell if our 401ks survive the next bubble.
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$2000 rent payment? $900 is a mortgage payment. Who would piss $2000 a month into the ground?
All of that moral outrage plus $1.50 might buy you a coffee. Just don't go to Starbucks.
Stock is sold to people who want to make money. Stock is also shorted by people who also want to make money.
You don't get to pick and choose who buys your stock, that's the whole public part of going public.
"Anyway, who the hell commits to a twitter request? Seriously?
Bullshit."
Check Musk's Twitter history to see just how that giant fucking battery his company built for that Aussie windfarm got requested.
Pain is merely failure leaving the body
Actually, this makes perfect sense, as a threat toward the short-sellers of Tesla stock. There are LOTS of short-sellers for Tesla; they borrow Tesla shares from the broker, sell them, bad-mouth the stock in hopes that the stock price will fall dramatically. Then they can re-purchase the Tesla stock at a lower price to cover their short-sale, and still make a profit.
Musk's gimmicky tricks like the "NOT A Flamethrower!" and the Tesla surfboards were designed to create a pop UP in the stock price, perhaps in the hopes of scaring the short-sellers into liquidating their positions NOW, rather than take bigger losses as Tesla shares went UP. If he actually took Tesla public at $420/share, the short-sellers would take it in the shorts, so to speak, and Musk could laugh all the way to the bank.
And ten, Dell-like, go public again and get even MORE money.
Elon Musk is crazy, all right; crazy like a fox!
Ah, one of the short-sellers, I see!
If TSLA really is the most shorted stock in history, all he needs to do is execute his business plan. Then there would be the biggest short squeeze in history, as all the shorts are wrong and panic, buying to cover their shorts and driving the stock price even higher. That would easily result in TSLA going over $1000 per share.
Yes obviously, agree completely. Hopefully anyone lying to the public in order to profit from the price falling will be prosecuted.
But being a public company traded on the stock market has rules. You don't get to choose who trades your stock. They must have known short selling existed, and shouldn't be so surprised.
Windy seems to think only good people trade stocks. Maybe they were both a little naive.
$27,9 billion in assets. $22,6 billion in liabilities. Was there any reason why you handpicked only one part of the assets and liabilities lists?
I'm not sure why you list the total assets and liabilities. You're engaging in the same sort of cherry picking as the person you're responding to except that you're avoiding looking at cash flow by dumping out total assets and liabilities which has minimal relevance to cash flow. I could have a company that has a building and land worth $1m and end up failing because the only liability is property taxes (we'll say $30,000) which I can't pay forcing me to liquidate the property to pay the taxes, essentially dissolving the company, but hey it's still a $1m company with only $30,000 worth of liability. All total assets and liability really gives you is the balance sheet value of a company today (assets - liabilities) if you were to buy or sell it.
I'm using this to look at https://www.marketwatch.com/in...
They list 6.57bn as their total current assets of which 2.26bn is wrapped up in inventory. The remainder is mostly 3.5sbn in cash and 515.38m in accounts receivable. It also lists 7.67bn as their total current liabilities. 978.76m is debt payments, 2.39bn is accounts payable, 185.81m is income taxes, 378.28m is payroll, and 3.74bn is other miscellaneous current liabilities. Unfortunately, AP isn't broken down to the point that you can tell whether those are due to capital investments or operational expenses, or I just can't read the statement well enough to determine if capital expenses are broken out elsewhere.
Their current financials are negative and when you have that situation you are riding your cash reserves hoping to turn a profit or you're seeking outside money via issuing stock or bonds, or getting investors or loans to continue operations and taking on liabilities to fund operations is typically not a good idea.
I hope Tesla succeeds but I do think they need to improve their cash flow situation.
"Lack of speed can be overcome. In the worst case by patience." --Znork
If that were the case, all you're saying is that it's worth 5.3 billion right now. Which is less than 10% of the current stock market valuation.
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Only a fool at this stage would have all their money in oil.
The only reason to list in the first place is for the easy access to new capital by issuing new shares.
If they don't need money anymore, the negatives outweigh any positive benefits.