Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[dl003]

The timing of this offering is great. It's done before indexers can start buying. People can't say Elon is helping to ease their pain. I like my management opportunistic and vengeful.

 

[FrankSG]

Much higher volume at nearly 11M shares traded in the first ten minutes already, and we're closing in on a breakeven point for the day. There is obviously still a LOT of buying pressure on this stock.

~5M of that was pre-market. Volume is currently quickly cratering. It's not the lowest volume we've seen in recent weeks, but it's not the highest either. It's really not that special.

Let's see if it picks up after 10AM.

 

[Knightshade]

If timing is right, it would be optimal, especially for those who bought on margin. I for one fall in that camp. I unloaded all my margin TSLA shares earlier today for a decent profit and plan to buy back in later at a discount. The margin loan eats into the gains if holding the large amount of shares over time if TSLA trades sideways. But my cash bought TSLA shares are going nowhere. They're gold and won't be sold anytime soon.

Ditto- sold my margin shares in PM before the SP dropped much.

I only keep margin shares around to sell CCs against them anyway (and thus don't care about them being called- though I wasn't selling CCs since inclusion announcement)- this let me book ~20k profit per 100 and not have to worry about if the market reacts super stupidly in the short term to the secondary.

And I've still got effectively many thousands of shares of exposure to upside via options I own that are all good into various times next year that this blip won't do much to.

 

[ZachF]

*TESLA TO SELL SHARES, SEES PROCEEDS OF UP TO $5B

EDGAR Filing Documents for 0001193125-20-312194

At the market program like last time.

Tesla is going to have a $20+ billion cash pile at the end of the quarter....

 

[chrsk]

OK. We'll be green by lunchtime or earlier.

Edit: Maybe within an hour of open?

Starting to believe it actually might happen! Green today would be a small Christimas-miracle

 

[Paracelsus]

Yes, it feels like we will receive an announcement that the full $5B of Tesla's cap raise shares will be completely sold any moment. This will literally result in a situation for the Index buyers needing to go from store to store looking for more TSLA shares, and yet all the shelves are empty...........not unlike the rush on toilet paper that emptied the shelves this past spring. Lucky are those that kept a few extra rolls and a few extra TSLA shares on the shelf as TSLA is wiping the arses of the Shorts and those that refused to believe.

 

[TheTalkingMule]

Up.

Yeah, I get it. Slow and steady wins the race. Temper expectations. Don’t hit the soufflé with a sledgehammer. Blah, blah, blah. But Mom has her own schedule and damn it why can’t we just stick to that? I don’t think it’s too much to ask given the circumstances of the past year.

I'm am 100% on board with simply tracking with your mom's guidance. If she says sell at $1400, I'll certainly think about it.

Took a lot of hounding from me for my 77 year old skeptical Irish mom to buy some TSLA 3 years ago. Complain, complain, complain.....then an odd period of silence ..... now she's calling me at 10pm to bitch about fossil industry FUD. A full on conversion, I've created a monster.

 

[Brian121]

I know a lot of us here have large options so short term consideration is more prominent.

Remember, our fortune eventually boils down to how healthy Tesla can be. So from the long run, this has to be good for Tesla and for us, right? As far as Tesla does not waste any money, which Elon assure us that "We try to waste as little money as possible".

I actually like them to do a 10 billion raise, and if stock drop post inclusion, do a little buy back. Just for the heck of it.

 

[Todd Burch]

We're past the fear that what happened on Sep 1 will happen today though, which was key. Sep 1 TSLA started cratering at open. Not today, which I think is a result of the fact that this really is an entirely different situation, and there is lots of buying to do.

What I like about this, though, is that fears that Tesla will have another offering in a week or two go away--so there's some certainty there. Even though it hurts my investment balance in the EXTREMELY short-term, it will benefit elsewhere. Well timed offering IMO.

 

[CorneliusXX]

Something that slipped through this year, for me anyway, is the impact of SP rise on employee retention.

Per electrek this summer, most employees get between $20-40k in options that vest over 3 years. With regular production employees now sitting on $100-600k in options, EVERYONE will stick it out to vest.

Anyone hired in 2019 will be here well into 2022 and won't get poached.

The difficulty with a high share price is hiring new employees who have a lower chance of seeing the explosive growth in their value - and retaining current employees after the vesting period when they can afford to do whatever they want.

Tesla does have better mitigation of these risks than most with enticing problems to engineer and the sustainability mission.

 

[ByeByeJohnny]

Yes, it feels like we will receive an announcement that the full $5B of Tesla's cap raise shares will be completely sold any moment. This will literally result in a situation for the Index buyers needing to go from store to store looking for more TSLA shares, and yet all the shelves are empty...........not unlike the rush on toilet paper that emptied the shelves this past spring. Lucky are those that kept a few extra rolls and a few extra TSLA shares on the shelf as TSLA is wiping the arses of the Shorts and those that refused to believe.

Last time most seemed to think they would spread it out over a few days at least, maybe a week. If I remember correctly they announced the next day that they had sold the full amount already.

 

[traxila]

I was waiting for the other shoe to drop. Everything looked to easy.

I think this is the drop. And it does not matter!

What does the market think about an uncertainty off the table?

 

[Todd Burch]

~5M of that was pre-market. Volume is currently quickly cratering. It's not the lowest volume we've seen in recent weeks, but it's not the highest either. It's really not that special.

Let's see if it picks up after 10AM.

Agree. Looks like we may be back to what we saw yesterday. Steady buying pressure on low volume. Which is really remarkable given that Tesla just dropped a $5B offering this morning like it was a ham'n'cheese biscuit on rye.

(If you're not in-the-know on breakfast analogies, that means "like it was nothing").

 

[Unpilot]

Channeling my inner @Cherry Wine the order book looks buy heavy.

 

[mongo]

The timing of this offering is great. It's done before indexers can start buying. People can't say Elon is helping to ease their pain. I like my management opportunistic and vengeful.

To be clear, just because the filing was today does not mean the shares will be sold today. Tesla controls the pricing and release schedule. (doesn't mean they are waiting either)

... to sell the Shares from time to time based upon Tesla’s instructions for the sales, including any price, time or size limits specified by Tesla. Under the Equity Distribution Agreement, the Sales Agents may sell the Shares by any method permitted by law, including in ordinary brokers’ transactions, in negotiated transactions, in block trades, and in transactions that are deemed to be an “at-the-market offering” as defined in Rule 415(a)(4) under the Securities Act of 1933, as amended (the “Securities Act”). The Sales Agents’ obligations to sell the Shares under the Equity Distribution Agreement are subject to satisfaction of certain conditions, including customary closing conditions.

 

[Todd Burch]

To be clear, just because the filing was today does not mean the shares will be sold today. Tesla controls the pricing and release schedule. (doesn't mean they are waiting either)

True, but it also means Tesla likely won't drop another offering bomb in a few weeks, which I think some feared.

 

[chrsk]

To be clear, just because the filing was today does not mean the shares will be sold today. Tesla controls the pricing and release schedule. (doesn't mean they are waiting either)

Didn't they drop all the shares at one day last time?

 

[FS_FRA]

I value his input because he's critical of Tesla but knows enough to know it's a good investment. It too often feels like an echo chamber in my circle. Even if he's wrong with most of his criticism, if he's right sometimes it's good to be aware of it.

Have you ever had a multi-day, multi-tweet "conversation" with him? I did a few times. Ended up in being insulted every time.

I agree on the echo chamber, however, sound damping by ways of VA is hopeless.

 

[Artful Dodger]

It's the same deal as the last time - "at market, when they feel like it"...

Are they saving the naked shorties again?

Lol, understandably confused. The (upcoming) Share-Dividend spanks dat naked azz...

Cheers!

 

[ZeApelido]

Around 17 min in this video Jordan Giesige talks confidently that Tesla is going to be increasing supercharging speeds across all vehicles soon.