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

[GrandEnigma]

You can donate shares directly to charities and avoid capital gains tax.

I think you can also gift shares to anyone that way (up to the $15,000 per person annual gift tax limit) and your cost basis goes with the shares, so the recipient will owe taxes when they sell. I'm not sure about that, though. I am not an accountant.

If this second part is wrong, let me know and I'll edit the post.

I too would like to know this as I have done this over the past few weeks. I cannot find a concrete answer while I am waiting for an answer from those that better know.

 

[JoRoMo]

Ah.

No. Maybe it requires ires more than an “Ah” then...

 

[BlackS]

Not to rain on anyone's parade but remember this:

 

[dakh]

You can donate shares directly to charities and avoid capital gains tax.

I think you can also gift shares to anyone that way (up to the $15,000 per person annual gift tax limit) and your cost basis goes with the shares, so the recipient will owe taxes when they sell. I'm not sure about that, though. I am not an accountant.

If this second part is wrong, let me know and I'll edit the post.

Veering off topic but given the latest performance, pretty relevant: there is such a thing as a donor advised fund. You can transfer your shares there and then you can tell them to write checks to whatever charities you want. Not all charities are equipped to take stocks as donations, so having a donor advised fund as a proxy is very convenient. The kicker is that you can KEEP your donation in the fund and grow it over time.

So let's say you ended up with huge gains last year. Before the year end you chuck your super deep in the money option into your fund. This gets sold and re-invested into whatever you direct the fund to get it invested to. You then get to write the market value of your donation to the fund at the time of transfer off your taxes on the year you donated. You can then spread your donations over time from the fund. Fidelity has one, it takes just a few mouse clicks to open and a few more to transfer and donate. I don't exactly like the kind of choices you can put your money into (all big index funds) but they're good enough.

 

[adiggs]

Celebration mode seems appropriate!

 

[Fobble]

Hmmm. On pace for $5000+ gain this year.

How many zeros the "+" represents?

 

[MP3Mike]

I too would like to know this as I have done this over the past few weeks. I cannot find a concrete answer while I am waiting for an answer from those that better know.

Not that it belongs here: How Do You Value a Gift of Stock? It Depends on Whether You're the Giver or the Receiver.

mods: I have smacked my own knuckles.

 

[adiggs]

Someone (can't be bothered looking back) mentioned that ETrade now allows online exercising of ITM options. I just got the following message from them, FYI:
Bullet 2 would seem to make it useless unless extremely close to expiry or extremely deep in the money. I'll try it out at the next appropriate time, but that won't be until Feb 4 (Jun 17 '22 $150 Call, bought for $41.60, up 1666%).

Sounds useless to me, given bullet #2. If bullet #2 required the time value to be under $0.65 (the threshold for free option closes), that'd make at least a little bit of sense to me.

The ITM requirements does make sense to me.

 

[ByeByeJohnny]

Somebody's done it already. What are we up for the week?
EDIT: just shy of $140/share

This can't be right? We closed New Years Eve at 705.67. Today closed at 880.02. That's up 174.35 for the week.

Which is 871.75 old time dollars.

If I'm looking at the charts correctly it was not until June 1, 2020 that Tesla reached $871. Took 10 years to do what was done this week.

Edit: There's also more shares now than in June so probably even later in the month. Not gonna do that math though.

 

[NicoV]

How many zeros the "+" represents?

I think it’s a regex. From Regular expression - Wikipedia:
“The plus sign indicates one or more occurrences of the preceding element. For example, ab+c matches "abc", "abbc", "abbbc", and so on, but not "ac".”

 

[EVMeister]

To keep everybody focused and on topic... Guesses on Monday's price action?

 

[Tyler34]

How many zeros the "+" represents?

Well frankly if we see a share price of $5800 this year, people might start selling so I'm guess he listed the right amount of zeros.

 

[Evoforce]

No. Maybe it requires ires more than an “Ah” then...

Just like investing, it requires patience as well...

 

[BlackS]

Toyota vs. Tesla SP comparison over the past year:

 

[JoRoMo]

Just like investing, it requires patience as well...

Got it, just gave you a smiley )

 

[2daMoon]

Toyota vs. Tesla SP comparison over the past year:

View attachment 625819

I'd say something like, "Toyota is cookin' with gas," ... if I were the kind of person prone to that sort of humor.

 

[jw934]

Typically, market makers are option sellers more than they are option buyers. So assignment on those 750 strike calls is more likely to be sucking shares out of the market makers hands.

Yes, they used the same weekly close playbook as last week. -- SP was around $863 at 3:30PM, then closed at $880.02 for assigning all calls $880 and under, to "suck the shares out of the MM's hands".

During the final 30 minutes, I assume someone bought 15,350 contracts of $880 strike calls for mostly between $1 and $3 to exercise and accumulate 1,535,000 shares from the $880 calls, and I assume a lot more from last minute buying and exercising the $860 and $870 calls.

Based on this week and last week, one option play for next Friday could be to sell at the high at around 12 noon or 1PM on Friday, then buy them back just after 3PM. Or, safer, buy cheap at 3:30PM then sell at 3:55PM. (Not advice)

First chart : $880 calls prices from 9:30 to 4PM, each bar is 30 minutes.

Source:
: TSLA210108C00880000 (TSLA210108C00880000) Stock Price, News, Quote & History - Yahoo Finance --> Click on Chart then click on 1 min or 30 minutes chart. (I think this chart might be only available until the weekend, or only today)

Second is the minute chart of the $880 calls before closing.

Share prices in the final hour:

 

[Artful Dodger]

Please realize there's only this many talented engineers out there, and this many who will move to where Tesla is and willing to work for. Throwing more money at it has fairly limited effect.

This is why Tesla will largely clone technology for the Model 2 in Shanghai from the existing Model 3/Y lines. It is a way of leveraging engineering talent, because they're literally no longer reinventing the wheels...

You can throw money at cloning a moneymaking machine to make, well, more money...

Cheers!

 

[Zero CO2]

up over 2 years base salary this week ... this is nuts

 

[glhs272]

I am finding it really vexing to focus on work when every day for the last few weeks, it seems my trading account increases daily gains that exceed my entire annual salary. First world problems...