31,300,000 shares are short of a 72,000,000 float. That's 43%+. As TSLa share price goes up it becomes more costly to remain short., more shorts have to meet margin calls, more forced buying when they get too far upside down with their broker. I don't see any major automaker buying this company here.
I just had another Crazy Thought Futurecartsla....... What if Toyota planned all along to let Tesla do the high risk start up and if they sensed it was going to take off, they would come in and buy out Tesla. A friend of mine has always wondered if the first major EV company would get snatched up by one of the big auto makers.
I only say this, because I've seen this before when a modest size company is going up and up with little or no news out...............Suddenly...............there is news and we all say..."Now I get it". Often it's a buyout.
Before any shorts bash me....please explain how, why and who is buying Tesla this week..? You can't think it's brain dead retail Ma and Pa investors? I guess it could be all those people who just bought a Tesla this Yr, love the car and decided to invest in it..
Hindsight is 20-20. :)
I wonder what the buy out price now would be. I think Toyota is seriously considering it's options at this point. Now my 15 billion buy-out number seems way too low, eh? Funny what a few months can do.
possible, but I hope not, even though the short term gains would be amazing. I have no idea what EM would want, but I hope his numbers are close to my numbers (above $15 billion). Would you rather get $140 tomorrow or $500 a share in 2015? hmmm 15b would probably put over 4b cash in EM's pocket hard to say no to that but if anyone can it'll be Elon.
although if the buyer was GOOG or maybe even AAPL I'd warm up to the idea a lot more then one of the auto manufacturers. It would be no problem for these tech giants to outbid the auto giants these days, and it's hard to imagine what could be accomplished by a AAPL-TSLA JV.
(I hold no position in GOOG or AAPL...)
I have always thought that as well. You don't see many of the big car manufactures developing anything comparable to the MS which makes me think they are just waiting for Tesla to do all the dirty work then they'll swoop in and buy em up. Hopefully for us that could lead to a nice bidding war between Daimler, Toyota, and maybe even GM. Just another event that could really send this stock flying!
Sentiment: Strong Buy
Yesterday, I went swimming before market, and I thought about adding to my existing shares on the pullback, since it had not fallen much relative to the market. I said to myself that would be too greedy and risky. Looking at the move today, I feel like an idiot.
With investing, the big money is always made when anticipating trends. Still, I value risk management and capital management, so I could not risk more. I would have piled up more shares if Tesla controlled a breakthrough battery tech, but that is not the case. Still, once they deploy MX and the SC network, this stock could be a 5 bagger from here. 10 bagger plus, if the battery costs drop in half and capacity doubles with new battery tech.
I increased TSLA to my trading accounts, after hesitating before yesterday's close (Meh!). Had to buy in pieces because the spread was too hi. Why, the short squeeze is going to get worse. Meanwhile, all kinds of reports are coming that Tesla has increased production to at least 500 cars/week. It means they must have optimized their manufacturing and supply chain. I expect their gross margins to be on the way to exceed 25%.
Demand looks good too. There is still a waiting list and the wait time has increased a bit. Beside, new markets are opening in the EU, which will help on any slack of demand here.
I am betting that TSLA will deploy SC network in Texas and Florida within 3-4 months as indicated in their website. I think Elon will address this issue soon. That should sustain demand as well.
Again, with short interest at 31.3M on Mar-28, too much bad news has been priced in. That short interest was probably 50% of the float shares available. I suspect it has been reduced, but looking at the volume, the die hard shorts have not thrown the towel - yet.
Holy #$%$ Future. Bought a few more calls yesterday..... I'm in shock. Something HUGE is going on.
There is no way this is "Retail" investors buying up like this with the market so weak. I'm guessing Morgan Stanley or someone told big investors to start accumulating. This is on good volume for several days now.
I knew something big was up when I logged on this morning at 8am and the ASK was at $60, no premarket sellers at all, and the BID/ASK at open was high.
Signs, Signs, Everywhere there's signs.
Blocking out the scenery. Breaking my mind.
Do this! Don't do that! Can't you read the signs?