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

[mejojo]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Tax is good. It means you made money. Just like if you got a big raise.

 

[joyhi]

Davet's assessment of the reason behind this monster move. As a longtime long (holding through the Elon tweet fiasco, it resonates:

 

[dakh]

Okay, so many of us are "like Elon" in that we have some serious assets in TSLA. (AND, not to be a pill, but don't forget: what goes up might come down again . . . even if the long-term trend is upward.)

Question: how does one turn that into cash flow without actually selling any shares? I guess there's always covered calls, but are there any other avenues by which one can monetize a large portfolio without actually selling any of the shares?

We're decades-long holders of TSLA, but sometimes some cash flow is a good thing. There will likely never be dividends from TSLA as investing in new GF's (and mines!) is a far better way for Tesla to put any excess cash to work.

Thanks for any insights on this "problem."

Personally I'm not at all shy of straight up selling. If my position used to be 5x of my emergency fund and now its 50x, I feel ok to restore the cash balance back to 5x.

 

[dakh]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Donate stock, no tax on that for you. Weird but I ended up with mostly long term positions in my leaps, so cap gain tax only.

 

[Curt Renz]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Don't take all of the profit in one year. And each year only for cash that you really need.

 

[Fobble]

Personally I'm not at all shy of straight up selling. If my position used to be 5x of my emergency fund and now its 50x, I feel ok to restore the cash balance back to 5x.

Or sell some to cover your costs, and let the rest continue to run. Not an investment advice

 

[theschnell]

Doing everything they can to bring in new shorts.

Problem is, everybody who watches their show and believes their nonsense has already been short. So no new money to pull in because at this point they have no credibility.

Two hilarious comments.

1) “A rebate to short the stock” ?????
2) “Only 21 million shares short, so not a large short interest at this point” ?????

The only legit point they make is that the stock has gone parabolic. That is arguably true, but did all underwater shorts already capitulate? I think not, which means more margin calls coming in and more covering to follow.

 

[ZeApelido]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Wait a year. Move to Florida

 

[FrankSG]

Through my "broker" (I use that term loosely with Robinhood, hah).

Hm, I wonder if Interactive Brokers has a chart like this too. I didn't find one when I looked before.

 

[Dare]

This is a really good discussion

 

[Driver Dave]

All the dudes who missed it, now trying to act like they have any idea what they are talking about.

Go buy a Tesla. Figure it out. Get back to us.

 

[TheTalkingMule]

Wait a year. Move to Florida

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

 

[dakh]

Or sell some to cover your costs, and let the rest continue to run. Not an investment advice

That has been done what, two months ago, maybe 3? All pure unadulterated retirement grade profit from now on

 

[dakh]

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

I see you're worried about climate change and trying to stay afloat?

 

[StarFoxisDown!]

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

People forget we have no state income tax up here in Washington state. PLUS you're as far away from Florida as possible(minus Alaska/Hawaii)

 

[jkirkwood001]

Probably impossible to find out, but it would be interesting to know how many of today's record $47 M shares traded were by people / institutions getting out of Big Oil stocks - whether prompted by the Coronavirus affecting oil price or not (China is the 2nd biggest oil consumer after USA) - and into something 'safe' and future-promising like, oh, maybe, TSLA.

 

[Cattledog]

People forget we have no state income tax up here in Washington state. PLUS you're as far away from Florida as possible(minus Alaska/Hawaii)

Alaska, Washington, Wyoming, South Dakota, Nevada, Texas, Tennessee, New Hampshire and Florida have no state capital gains taxes. Pick 'em.

 

[bhtooefr]

But what does it mean.... explain like you would to a child

So, if I understand correctly... the number of shares they own is a bit up from this time last year (about 4.5%). The number of shares they hold voting power on, increased from 53.9% of their holdings, to 73.6%.

...all shares, as far as I'm aware, of TSLA, are voting shares? So, the only way you wouldn't have voting power on a TSLA share you owned, is if you loaned it to a short. Basically, it means they've recalled about 3 million shares from the shorts and slightly increased their position. That's all.

 

[UnknownSoldier]

I'm pretty sure I just wasted 9 minutes watching CNBC telling us that stonks go up and stonks go down. Truly, they are the First in Business.

 

[uselesslogin]

So I think if the stock continues to follow the roughly 10x 2013 pattern we are looking at $850-$1,000 range for the rest of the month. Then sitting above $1,000 for March, maybe $1,300 after deliveries and $1,800 by the end of June. Who knows? But today just blew me away especially with the volume.