> I struggle to understand those who would short-sell Tesla, unless they have some kind of emotional hangup against Elon Musk or government efficiency?
It’s objectively clear that the company is in a bad market condition, and you don’t need to have an “emotional hangup against Elon Musk or government efficiency” to know it’s bad business to alienate your potential customer base and deliver shockingly bad public appearances.
If Ford’s CEO was stumbling-down drunk or higher than a kite at a presser, I’d short Ford too.
Musk was never a conventional squeeky-clean ultra-safe stage-managed CEO that speaks through a media team.
That didn't stop him from raising the value of $TSLA from a penny stock to one of the largest companies in the world.
With his initial investment, and with him as the product architect of the first Tesla vehicle (the Roadster), he transformed an academic project with no products to the world's most valuable automaker.
An automaker so valuable, it's worth more than Toyota, BYD, GM, VW, BMW, Mercedes, Ford and Honda COMBINED.
People have shorted $TSLA before because they underestimated Musk, and let their own personal affectations cloud their understanding of Tesla's potential, and Musk's singular genius.
An automaker so valuable, it's worth more than Toyota, BYD, GM, VW, BMW, Mercedes, Ford and Honda COMBINED.
Yes. Wildly overvalued for an automaker that it has never accounted for more than 2% of light vehicles world wide --- and instead of the wild growth projections they sold to investors, sales over the last 2 years have actually declined.
It can’t; this is how meme stocks operate. If too many traders examine their motives and revert to trading rationally, the stock price corrects accordingly.
> An automaker so valuable, it's worth more than Toyota, BYD, GM, VW, BMW, Mercedes, Ford and Honda COMBINED.
... I mean, that's exactly why one might short it, surely? Clearly, this cannot be the case; the valuation makes no sense, and no bubble lasts forever, so one could reasonably expect it to return to reality at some point. Of course, as always the real difficulty is figuring out _when_ that happens ahead of time.
The silver lining is as long as these people exist and continue to be wrong (which seems like it’ll be forever given no amount of Tesla success gets them to update their position) there will be money to be made.
It’s objectively clear that the company is in a bad market condition, and you don’t need to have an “emotional hangup against Elon Musk or government efficiency” to know it’s bad business to alienate your potential customer base and deliver shockingly bad public appearances.
If Ford’s CEO was stumbling-down drunk or higher than a kite at a presser, I’d short Ford too.