Short sellers have been preying on Tesla stock for years. Have they finally reached their come-uppance? “Most big Tesla shorts aren’t losing sleep or missing meals because of their positions,” Ihor Dusaniwsky, managing director of predictive analytics at S3 Partners, told Institutional Investor. “They still think this will eventually go their way.”
In a letter to clients, hedge fund manager David Einhorn pretty much accused Elon Musk of fraud after the surprising Q3 earnings report. Elon replied to Einhorn with a message of his own.
Love ‘em or hate ‘em, you have to give the short sellers credit for their dedication. Hedge fund manager Mark Spiegel even follows the market while taking a bath — two computer screens perched near the tub keep him apprised of the latest ill winds. Much of his time is spent sitting at his dining room table, sending a steady stream of tweets explaining why Tesla will eventually crash and burn, making Spiegel an even wealthier man.
We’ve written about this guy a couple of times before. He’s a billionaire who proudly proclaimed back on August 1 of last year that he was continuing to short Tesla [TSLA], claiming back then that the company was “only capitalized for the next three quarters.” He’s eating a lot of crow these days, but still claims he’s the one who’s right.
Greenlight Capital has now lost 11.9% this year, with 6% of that coming in February, Einhorn recently revealed to the hedge fund’s clients.
The prominent billionaire investor David Einhorn is sticking with his guns … that is, with his to date very costly strategy of betting against Tesla’s stock. The reasons? The same as before: he thinks that Tesla stock is overvalued and Tesla isn’t adequately capitalized to achieve its plans.
