SolarCity and TSLA depend on government subsidies. SolarCity is under goverment scrutiny; soon TSLA will be too.
TSLA is demand constraint. The battery clarification is an attempt to mitigate lawsuit claims. The announcement that Elon will build a battery factory for TSLA is just typical hype. Elon will have to be very careful regarding his four year plans like building cheap autos, and selling in China. TSLA is able to produce less than 6000 autos a quarter---losing money on each auto. No credit in china. Remember, the major cost of a TSLA auto is labor and battery.
Maybe suppliers want to be paid for parts delivered. TSLA may be withholding payments because of cash constraints. Issue more stocks or bonds? TSLA will drop below $50. Musk made many promisses but deliveries are 4 years out. All promisses require huge amounts of cash. TSLA may be bankrupt before meeting the promisses.
Able to build less than 6000 model s per quarter. Cannot increase production without capital improvement.
Elon will build the biggest lithum batter plant in the US. Elon will expand production. Elon will build more charging stations in US, Germany, and China. TSLA has about $750 million cash. How much more stock will TSLA sell to meet these promises. TSLA will go below $50 soon.
Bought puts in the past. None have worked out for me. Bought some puts today. At the present, the puts are down in value. TSLA is worth less than $50 a share. Maybe by next week.