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Tesla Short Sellers Actually Made Over $1 Billion After Musk's Taking-Private Tweet (fortune.com)
An anonymous reader quotes Fortune:
Investors betting that Tesla stock will lose value -- so-called "shorts" -- have made $1.2 billion since CEO Elon Musk first tweeted about taking the company private. Much of that gain came on Friday, after the New York Times published a revealing, emotional interview with Musk that drove Tesla stock down nearly 9%. The tally comes from a report released Friday by stock analytics firm S3 Partners. The Friday collapse helped reverse a price spike after Musk's August 7 Tweet saying he was "considering taking Tesla private at $420," about 18% higher than the stock's market value at the time.
According to S3, the subsequent surge in Tesla stock cost short positions $1.3 billion. But soon after, it became clear that Musk had exaggerated the certainty of his funding, and the SEC began a probe of his statements, driving the stock back down. On Friday, the Times interview with Musk detailed his 120-hour work weeks, lack of social life, and reliance on Ambien to sleep. That sent the stock down 9% in one day, for a total drop of 19% over 10 days. That gave $2.5 billion back to the shorts, for a net gain of $1.2 billion since Musk's going-private tweet.
Tesla remains the most-shorted stock on the American stock exchanges, and the researchers note that only 4% of shorts have actually cashed in these on-paper gains.
According to S3, the subsequent surge in Tesla stock cost short positions $1.3 billion. But soon after, it became clear that Musk had exaggerated the certainty of his funding, and the SEC began a probe of his statements, driving the stock back down. On Friday, the Times interview with Musk detailed his 120-hour work weeks, lack of social life, and reliance on Ambien to sleep. That sent the stock down 9% in one day, for a total drop of 19% over 10 days. That gave $2.5 billion back to the shorts, for a net gain of $1.2 billion since Musk's going-private tweet.
Tesla remains the most-shorted stock on the American stock exchanges, and the researchers note that only 4% of shorts have actually cashed in these on-paper gains.
The price of Tesla is still above what it was when Elon did the tweet. Major price gap filled to the downside and gaps left to the upside. I do not have a position in Tesla.
It's clear that he didn't have a buyer to bring the firm public.
Doesn't need one. The company is already public.
Was making 80K to 120K cars till 2014.
Is making 50K electric cars now.
He will make 35K electric car next year
He promises 1000. Delivers 900. Everyone focuses on falling short of the target by 100. While forgeting that 900 is 900 above what every one said is impossible.
sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
The diver was instrumental to the entire rescue effort
Nothing if the sort. He did no diving. At best he provided the authorities with the names of some British divers who could help. That's great and all, but "instrumental" is an idiotic overstatement of his contribution.
while your favorite flamethrower beach boy decided to show up uninvited and wanted to shove a fucking metal tube into a narrow cave despite being told by the rescue chief in charge that it wouldnâ(TM)t work.
This is, of course, more bullshit. He was encouraged to build the submarine by Richard Stanton; one of the two divers who were the first to reach the boys. You know, a guy who actually WAS instrumental to the rescue effort.
Get fucked, you bloody fanatic.
I do, on a fairly regular basis. Judging by your rabid frustration, I suspect you can't day the same.