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

[InTheShadows]

I wish I also had a smart brother to tell me such things.

I wish I had any family member that knew what a covered call was. Our 12yo son knows what a short put is though. He’ll learn covered calls when his account gets bigger.

 

[Curt Renz]

Well, EM did say long term holders... so, what difference would newly bought chairs possible have?

Elon tweeted that it would be "at least a few years" in response to a question about a Starlink IPO and giving first dibs to Tesla shareholders. The IRS considers one year to be long term. His definition remains unknown. Perhaps more importantly, the possibility of priority for a Starlink IPO may encourage many current TSLA shareholders to hold tight.

 

[dl003]

Well, EM did say long term holders... so, what difference would newly bought chairs possible have?

One way I can see it work mathematically is this: the longer you've held on to 1 share, the more of a "credit" you'll get. Say the cut off limit is 5 years, if you just bought the share 6 months ago, you'd only get 0.1 credit and the former holder gets 0.9. 1 full credit earns you the right to buy a Starlink share at a discounted/predetermined price.

 

[ByeByeJohnny]

Am I missing something or is everybody a bit too excited about getting preference in buying Starlink?

Been giving some thought about the benefits to long term Tesla investors in case of a Starlink, or the whole of SpaceX for that matter, IPO. Doesn't really seem that important when you do the math.

I mean I came to Tesla via not being able to buy SpaceX so I'm all for getting some preference but I just can't see them valuing the IPO in a way that it pops 50%-100% on opening day. Remember once an opening price at the exchange is set anyone can buy. So it's the difference between that opening price and the IPO price that is the value.

Also, in all likelihood you will not get some unlimited amount of shares just because you owned Tesla shares a long time. In the end I think it'll be high if they allow the amount you can invest to even 20% of your Tesla longterm value. More likely 10%, but lets go with 20%

So lets say it opens up 20% from IPO price (where anyone could then buy) and Tesla investors were allowed to buy in at regular IPO price for an amount of say 20% of their long term Tesla shares valuation. Even if ALL your shares were longterm (however that will eventually be decided) you would in this example see a benefit of 4% extra profit from your Tesla holdings.

I mean that would obviously be nice but Tesla itself can go up, or down, 4% on any random Tuesday.

In the end it seems to be more of a symbolic thing than something that will give any Tesla long term holder any significant economical advantage.

 

[UkNorthampton]

I thought this might be useful for non-UK and UK Investors to understand some of the questions and thoughts of UK & Irish (briefly) Tesla owners

- it's long at 1:44 hours (can speed up)

Covers quite a lot: locations, difficulties getting permits, permissions for power to cross land, power connections, uniquely UK aspects such as the very welcome Gridserve improvements to Motorway services (on-Freeway charging in NA English?) & their tie up with Tesla (co-located chargers with separate electricity supplies for resilience is intimated), non-Teslas using Superchargers, Irish Superchargers/support, use of Stadiums for Supercharger locations (great idea, only busy a few hours a month, big parking, big power, regular income for stadiums when no games on) and different rates for busy / quiet period (USA, perhaps London).

 

[Artful Dodger]

contrarian options play
Need to consider some buys for tomorrow, if MM try to hard to take this back towards max pain ...

I'd wait for more info from max-pain.com at 7 am tomorrow (unless you have another source). BTW, there were over 200K Call contracts traded at the $700 stike today. How many are still open, we won't know until tomorrow at 7:00

 

[dl003]

Am I missing something or is everybody a bit too excited about getting preference in buying Starlink?

Been giving some thought about the benefits to long term Tesla investors in case of a Starlink, or the whole of SpaceX for that matter, IPO. Doesn't really seem that important when you do the math.

I mean I came to Tesla via not being able to buy SpaceX so I'm all for getting some preference but I just can't see them valuing the IPO in a way that it pops 50%-100% on opening day. Remember once an opening price at the exchange is set anyone can buy. So it's the difference between that opening price and the IPO price that is the value.

Also, in all likelihood you will not get some unlimited amount of shares just because you owned Tesla shares a long time. In the end I think it'll be high if they allow the amount you can invest to even 20% of your Tesla longterm value. More likely 10%, but lets go with 20%

So lets say it opens up 20% from IPO price (where anyone could then buy) and Tesla investors were allowed to buy in at regular IPO price for an amount of say 20% of their long term Tesla shares valuation. Even if ALL your shares were longterm (however that will eventually be decided) you would in this example see a benefit of 4% extra profit from your Tesla holdings.

I mean that would obviously be nice but Tesla itself can go up, or down, 4% on any random Tuesday.

In the end it seems to be more of a symbolic thing than something that will give any Tesla long term holder any significant economical advantage.

a 4% GUARANTEED increase in my net worth is certainly fantastic. At some point it means an entire year worth of living expense or more. And all that for, dare I say it, suffering endless poverty as a TSLA hodler? I'll take that. Thank you.

 

[ByeByeJohnny]

a 4% GUARANTEED increase in my net worth is certainly fantastic. At some point it means an entire year worth of living expense or more.

That's kinda the problem though. It's not guaranteed. Just an example. More likely to be lower than higher in my opinion. Especially the allocation might be lower than many are hoping for.

Also it's not your net worth. It's on whatever you have in long term Tesla holdings.

 

[dl003]

That's kinda the problem though. It's not guaranteed. Just an example. More likely to be lower than higher in my opinion. Especially the allocation might be lower than many are hoping for.

It sure is hard to quantify, but looking at the way things are right now, even the midly hot IPOs are bid up to the moon, I'd say it'll be worth a decent chunk. I'd really love to get in "at the ground floor." Would make it extremely easy for me to just hold forever.

 

[M|S|M MYP]

Elon tweeted that it would be "at least a few years" in response to a question about a Starlink IPO and giving first dibs to Tesla shareholders. The IRS considers one year to be long term. His definition remains unknown. Perhaps more importantly, the possibility of priority for a Starlink IPO may encourage many current TSLA shareholders to hold tight.

Heard Elon is gonna define long term holders as 1 year + 2 weeks + 2 weeks + 2 more....

 

[dl003]

Heard Elon is gonna define long term holders as 1 year + 2 weeks + 2 weeks + 2 more....

I hope he doesn't wait too long. FUDs are the most rampant when a company is young and God knows deflecting FUDs is about the only thing we're good at collectively.

 

[M|S|M MYP]

I hope he doesn't wait too long. FUDs are the most rampant when a company is young and God knows deflecting FUDs is about the only thing we're good at collectively.

Maybe when it gets closer to IPO date....Sale looks like its over the last 2 trading sessions, however it could just keep going aka short burn, part deux. It was just a matter of time before it ran again...too many positive factors in the near term ramp for it to have been beaten down so much.

 

[LiveLong&Profit]

Am I missing something or is everybody a bit too excited about getting preference in buying Starlink?

Been giving some thought about the benefits to long term Tesla investors in case of a Starlink, or the whole of SpaceX for that matter, IPO. Doesn't really seem that important when you do the math.

I mean I came to Tesla via not being able to buy SpaceX so I'm all for getting some preference but I just can't see them valuing the IPO in a way that it pops 50%-100% on opening day. Remember once an opening price at the exchange is set anyone can buy. So it's the difference between that opening price and the IPO price that is the value.

Also, in all likelihood you will not get some unlimited amount of shares just because you owned Tesla shares a long time. In the end I think it'll be high if they allow the amount you can invest to even 20% of your Tesla longterm value. More likely 10%, but lets go with 20%

So lets say it opens up 20% from IPO price (where anyone could then buy) and Tesla investors were allowed to buy in at regular IPO price for an amount of say 20% of their long term Tesla shares valuation. Even if ALL your shares were longterm (however that will eventually be decided) you would in this example see a benefit of 4% extra profit from your Tesla holdings.

I mean that would obviously be nice but Tesla itself can go up, or down, 4% on any random Tuesday.

In the end it seems to be more of a symbolic thing than something that will give any Tesla long term holder any significant economical advantage.

An investment in SpaceX or Starlink I would count in decades, not years.
And yes, Tesla has a lot of huge potential: Scaling manufacturing, Robotaxi, Energy - and beyond.
SpaceX has unlimited potential: Opening up space, terraforming Mars, etc.
Starlink could potentially be a very good business in itself, providing fast internet access globally - and could also be a nice complement to Tesla, for safeguarding Robotaxi customers in corner-case situations, as described in a post about an hour ago (by allowing remote driving)

So, would it matter if I get a few percent rebate? Perhaps not.
But - right now SpaceX or Starlink is not available for me as an investor. Any news re. changing that I find to be very positive.
I would buy stocks for one or both on the open market. But, if Elon has decided to somehow reward/favor Tesla long-term holders, I am ready to line up.

 

[15Peter20]

I wish I had any family member that knew what a covered call was. Our 12yo son knows what a short put is though. He’ll learn covered calls when his account gets bigger.

Could your 12yo please explain it to me as though to an 8yo? TIA.

 

[lascavarian]

Cramer calling out that Tesla is back in growth mode as part of support for his theme of “breakout”. Sees they have a window while competition has yet to fully gear up.

 

[Discoducky]

Could your 12yo please explain it to me as though to an 8yo? TIA.

Best I've found: The Essential Options Trading Guide

But a great way to learn is this thread: Applying options strategy 'the wheel' to TSLA (start with page 1 young padawan)

 

[Discoducky]

I hope he doesn't wait too long. FUDs are the most rampant when a company is young and God knows deflecting FUDs is about the only thing we're good at collectively.

Does anyone know if there is precedent for what Elon is proposing?

 

[Prunesquallor]

Cramer calling out that Tesla is back in growth mode as part of support for his theme of “breakout”. Sees they have a window while competition has yet to fully gear up.

Latest SMR video recalling Cramer comments right before Tesla IPO. Interesting and humorous.

 

[Nocturnal]

Just create a fund prior to IPO and only allow Tesla shareholders to buy into it. Done. Wouldn't look much different than buying into the Ron Baron funds currently. Surely you can set some sort of rules as to who is allowed to buy into a mutual fund.

 

[Prunesquallor]

Just create a fund prior to IPO and only allow Tesla shareholders to buy into it. Done. Wouldn't look much different than buying into the Ron Baron funds currently. Surely you can set some sort of rules as to who is allowed to buy into a mutual fund.

Enforced by brokerage houses?