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

[gabeincal]

Is it weird that I’m hoping for more drop so I can buy more shares on margin?!

 

[Curt Renz]

My understanding is that the S&P tells indexes who is going to be added a few days ahead of the public announcement to give the indexes a chance to buy to reduce front running. So for all we know, the indexes are buying right now and Tesla is selling right now.

Here is a link to my related post on July 3: Tesla, TSLA & the Investment World: the 2019-2020 Investors' Roundtable

 

[MTL_HABS1909]

Seems like another "controlled event." It is almost disheartening. Not the loss of paper money, but the feel of the MM's still in charge.

Agreed. Being back to the predictable slow walk downs is the frustrating part.

Edit: And to make things even worse, macros are absolutely killing it today. NASDAQ up 1.27%

 

[Dancing Lemur]

Seems like another "controlled event." It is almost disheartening. Not the loss of paper money, but the feel of the MM's still in charge.

Controlled? What makes you say that?

 

[Singuy]

I found this to be very informative on the stock split, price action today, and the sentiment of the current market.

TLDR
1. Tesla didn't do a secondary offering because they feel the demand for their shares is high, therefore didn't want to give them away with a discount.

2. Support today at 472, didn't break through therefore still very bullish (472 is the mid point of yesterday's open and yesterday's close).

3. Fund managers are trading where volatility is meaning tech

4. After Tesla joins the S&P, might get pressure to become more of traditional car company (weird analysis but okay)

5. Tesla's valuation has a little bit of everything factored in, including other Musk's ventures like SpaceX

6. Tesla valuation is high, but who cares because everything is high due to no better alternative like in 2009 which fuels a bull run.

7. Tesla stock price will remain high after S&P. He thinks the market underestimate just how many people believes in the company vs speculators.

 

[Curt Renz]

Giga Berlin - today:

 

[M|S|M MYP]

Let's look on the bright side..imagine if markets were down today how much more $TSLA would be as well

 

[theschnell]

Here is a link to my related post on July 3: Tesla, TSLA & the Investment World: the 2019-2020 Investors' Roundtable

Thank you. I knew I had read that somewhere. And I'm not sure if indexes can be accused of insider trading when they don't trade. They just buy a set amount based on weighting in the index. Trying to prevent front running of that required buy is not insider trading but actually trying to protect indexed investors.

That said, if anyone else traded on that info, that would be insider trading.

EDIT: I see now I read that wrong then and again now. My apologies. I don't see how knowing 7 days in advance helps the indexes build the position if everyone finds out at the same time... Everyone fighting for shares simultaneously seems like the worst case scenario...

 

[Robocop]

4. After Tesla joins the S&P, might get pressure to become more of traditional car company (weird analysis but okay)

This is true. Once you're in the S&P, it's all back to physical plastic buttons each outsourced from a different company.

 

[mikevbf]

Yeah we’re only down $105 pre split today...

Over 300 if you include pre market trading

 

[Robocop]

Big red day.

 

[MTL_HABS1909]

Over 300 if you include pre market trading

It’s absolutely ridiculous. I said I was done buying for a while, but they just might be forcing my hand here.

 

[gabeincal]

SP -5% and yet my Jan 15 ‘21 800 call is up 10%. Very interesting day! Put in a 45@460 buy, we shall see if it gets hit.

 

[Nocturnal]

Everyone is so sad that we are "only" at $475 ($2375).

 

[dl003]

It’s absolutely ridiculous. I said I was done buying for a while, but they just might be forcing my hand here.

I'm actually gonna buy a couple dozen here to flip tomorrow/next week. Looks like it's spiking up as I'm writing this soon to be meaningless post.

 

[amolina]

That time when you realize you are still making profits off of IV surge even though stock is down massively. IV surge dollar value increase on 700c Oct16, is high at 116%. But nothing compared to 130%.. Phew . I totally see the power of IV and gains they can cause by using them instead. Dayum

 

[UCF3]

SP -5% and yet my Jan 15 ‘21 800 call is up 10%. Very interesting day! Put in a 45@460 buy, we shall see if it gets hit.

That’s because IV jumped 14.2 to 124.0 today.

 

[elasalle]

That’s because IV jumped 14.2 to 124.0 today.

Sold some Puts. Sept 18, 480 @ 50$ + (slowly using funds from the sells last week)

 

[Tslynk67]

My understanding is that the S&P tells indexes who is going to be added a few days ahead of the public announcement to give the indexes a chance to buy to reduce front running. So for all we know, the indexes are buying right now and Tesla is selling right now.

Nope, that would be insider trading. They inform the company that's to be added in advance, but then the general announcement is to everyone at once, with the funds typically given several days to start accumulating prior to inclusion.

 

[Tslynk67]

I've got to say my stress level has gone down considerably with this stock split. The smaller nominal daily changes are easier to digest.

A 13% rise yesterday mitigates it somewhat too, I would imagine...?