TSLA Market Action: 2018 Investor Roundtable

[Gwgan]

From the press conference it seemed that the SEC was saying that removal as CEO was NOT in the cards unless that's what the board/shareholders want. As upset as I've been with his irresponsible tweeting I would not want him removed. Hoping that I'm understanding that correctly.

That was in response to a question about whether he could remain in office pending the outcome.

To me the suit reads like some injured short complaint and as an investor I have been harmed much more by this announcement than by the tweets.

 

[Right_Said_Fred]

Elon come buy my shared for 420 I give you a free marihuaaanaa

Look who crawled out from under his rock. Ban please.

Mod: Deleted already.

 

[Thekiwi]

Assuming worst case scenario result from SEC suit, my quick take:

For Tesla:

Pros:

- Tesla is not being sued here, no impact on company fundamentals - no allegation anywhere that Tesla, the company, did anything wrong in this SEC filing.

Cons:

- PR nightmare
- brand hit
- The CEO (and largest shareholder), may have to be demoted for a time to “entertainment director” (Casino reference there)

For Musk:

Pros:

- no jail time

Cons:

- potentially huge personal financial liability (including from other lawsuits)
- reputational damage
- “demotion”

 

[RobStark]

He could easily still work for Tesla, just not CEO. It would be the same setup as SpaceX and I suspect Elon would enjoy the work more.

Elon could be a Tesla product planner slash owner of ~22% of the company.

 

[Wooloomooloo]

Not disagreeing. But I think if Elon finds out his chance of being removed is high, he will try to take the company private again.

One other thing is that the SEC complaint heavily implies that Musk stated he could 'almost certainly take the company private'. He explicitly never said that, simply mused that he was thinking about it and had the funding to do so. Any decision to take the company private must, by definition, be agreed by a majority of shareholders. He never said that and couldn't do that alone (and still can't for that matter).

The more I think about this one, the more absurd it gets.

 

[dondy]

I knew it I just knew it...we ARE Living in the matrix.

There is no other answer for the current state of affairs.

lol you listening Musk too much. Everything goes as goes.
The best way to get right answers is to ask right questions. Pity that Musk knowing it very well still uses this principle only in engineering.

 

[MP3Mike]

If there is no AH circuit-breaker does that mean it will trip first thing tomorrow morning, and then limit the shorts all day Friday and Monday?

 

[JRP3]

From the press conference it seemed that the SEC was saying that removal as CEO was NOT in the cards unless that's what the board/shareholders want. As upset as I've been with his irresponsible tweeting I would not want him removed. Hoping that I'm understanding that correctly.

Sounds as if they are trying to remove Musk:

The Commission brings this
action against Musk pursuant
to Section 21(d) of the
Exchange Act [
15 U.S.C. § 78u(d)
] to enjoin the transactions,
acts, practices, and courses of
business alleged in this Complaint and to seek
orders of disgorgement, along with prejudgment
interest, civil penalties,
and an officer and director bar against Musk, and such further relief as
the Court may deem appropriate

 

[tivoboy]

Two words that could solve this

Take private.

Oh the irony.

 

[NicoV]

Elon could be a Tesla product planner slash owner of ~22% of the company.

Even if Elon had no official role at Tesla, he would still lead Tesla the way he does now.

 

[Dangleitus]

Seriously, wtf are you doing here?

I typically only go long on stocks. On all stocks I am long, I read the bear cases and message boards for each of them. In tesla's case, I believe in the short case and engage in some discussion with people with different opinions. I have been civil with my points of view and only look to engage in level headed discussion.

 

[j0hn]

everyone take a deep breath

Tesla ain't going anywhere , with or without musk. Also Q3 numbers around the corner , V9 autopilot hitting the streets etc etc.

if you are long just keep your cool. yes it sucks , but just remind yourself it is a long term investment. still in doubt ? Go testdrive any model tesla to remind yourself why you invested in the first place. I did exactly that , worked for me the past few months

 

[ValueAnalyst]

If there is no AH circuit-breaker does that mean it will trip first thing tomorrow morning, and then limit the shorts all day Friday and Monday?

I’m not an expert on trading, but this is my take as well.

 

[Unpilot]

everyone take a deep breath

Tesla ain't going anywhere , with or without musk. Also Q3 numbers around the corner , V9 autopilot hitting the streets etc etc.

if you are long just keep your cool. yes it sucks , but just remind yourself it is a long term investment. still in doubt ? Go testdrive any model tesla to remind yourself why you invested in the first place. I did exactly that , worked for me the past few months

Yeah I'm gunna hop in my MS and take a spin..makes me smile every time.

 

[mongo]

If there is no AH circuit-breaker does that mean it will trip first thing tomorrow morning, and then limit the shorts all day Friday and Monday?

SEC Rule 201:

Short Sale-Related Circuit Breaker: The circuit breaker would be triggered for a security any day in which the price declines by 10 percent or more from the prior day's closing price.

Duration of Price Test Restriction: Once the circuit breaker has been triggered, the alternative uptick rule would apply to short sale orders in that security for the remainder of the day as well as the following day.

If we open down 10% like we are now, no short selling till Tuesday.

Should shift Bollinger bands too...

 

[Zextraterrestrial]

everyone take a deep breath

Tesla ain't going anywhere , with or without musk. Also Q3 numbers around the corner , V9 autopilot hitting the streets etc etc.

if you are long just keep your cool. yes it sucks , but just remind yourself it is a long term investment. still in doubt ? Go testdrive any model tesla to remind yourself why you invested in the first place. I did exactly that , worked for me the past few months

...and then buy more stock ? pretty soonish

time for some S donuts

 

[Fact Checking]

The more I think about this one, the more absurd it gets.

Also note how the SEC, as the plaintiff, requested jury trial:

"Jury Trial Demanded"​

This is a pattern of weak 'more bluster than substance' cases, where the uncertainty of the jury trial is used to pressure the defendant into settling. If they were certain of their case they'd request a judge trial, which would be faster and cheaper as well than a bench trial.

But being faster is not the purpose here I believe, on the contrary...

 

[Dwdnjck]

Yes, but suing to bar him from acting as an Officer of the Corporation too. If Elon wants to buy Tesla, now's the time to do it (or on Monday).

I think there is a good chance he will take the company private now.

 

[MarcusMaximus]

*whistle* down over $40 in AH.

 

[tivoboy]

With all the tin foil conspiracy thinkers here, I'm surprised nobody is talking about the irrational run-up we had yesterday (and a tad today) in advance of what was certainly going to be a significant market moving event. i'm pretty confident we were getting some advance manipulation yesterday, so someone SOMEWHERE knew SOMETHING.

Lets see the SEC investigate that too.