Those pursuing a short-selling strategy of Tesla stock have raised their bets against the company by 10% since mid-March, due to the idea that the firm is facing problems and that the market was overly optimistic about Tesla-fueled disruption, according to the firm S3 Partners (financial analytics).
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.
Tesla short seller extraordinaire Jim Chanos of Kynikos Associates — who hasn’t been served well by his positions on the company in the past several years — has continued to add to his short position on Tesla in recent days, he revealed at the recent Reuters Global Investment 2018 Outlook Summit.
… Grandma is on her feet again. “I get it! I’m not worried anymore. It’s unlikely that short sellers alone can kill a company that wasn’t already scheduled for termination from its own folly. Perception and fact intersect at some point. But give us the frosting on the cake. Has the price of TSLA risen due to a short squeeze?”
Pop quiz: You’re at an investor’s conference. The attendees are mostly “retail” investors who channel their money into stocks and mutual funds. You’re friends with a broker who works at the firm sponsoring the conference, and he has asked you to be in charge of handing out nametags to the attendees. You show up punctually to supervise all the pretty college girls who have signed up for the registration booth on the chance of zeroing in on Mr. Right. Life is good.
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.
To date, traders short selling Tesla stock in 2017 have lost around $3.7 billion. What that means is Tesla short sellers have lost more money on their own so far this year than short sellers of Apple, Amazon, and Netflix stock have collectively.
Those shorting Tesla stock (short sellers) have lost nearly $2 billion so far in 2017, according to recent reports. I guess that this explains the frantic tone to many of the recent Tesla hit pieces on Seeking Alpha?
