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

[elasalle]

Here comes CNBC - Craig Irwin, TSLA perma-bear, on talking the stock down. Why give this guy airtime - he has a price target of $250?!!!! He has been wrong for years. He is almost as bad as Gordon Johnson.

because he might be correct, post stock-split

 

[AMN]

The split will make it very likely that TSLA will be joining DJIA which is stock price weighted (vs market cap in S&P500).
At 3% entry into $10T index... that's another $300B of float that will get locked up. Buckle up!

 

[Artful Dodger]

Wish I didn’t drop the ball on buying these. The split explains it and that there was some sketchy stuff going on. How else is this explained? lol

I'm not familiar with that platform, so I could well be mistaken, but I think I saw only 26 shares traded.

Do you know the exact volume? TIA.

 

[jeewee3000]

Here comes CNBC - Craig Irwin, TSLA perma-bear, on talking the stock down. Why give this guy airtime - he has a price target of $250?!!!! He has been wrong for years. He is almost as bad as Gordon Johnson.

Just like last time we'll hear the media pushing the "a stock split does not add any value to the company, so this rally is unjustified" narrative over and over again.

We went over this many times. I'll give the TL;DR so we don't have to spend 20 pages on this again:
In theory a stock split does indeed not make the company more valuable, but in reality a split has the effect of the stock being more accessible to investors with little $$ to invest (and no ability to buy fractional shares) therefore the stock sees more demand than before the split but the same amount of supply. Result: higher share price.

EDIT: and what @TheTalkingMule said

 

[TheTalkingMule]

The split will make it very likely that TSLA will be joining DJIA which is stock price weighted (vs market cap in S&P500).
At 3% entry into $10T index... that's another $300B of float that will get locked up. Buckle up!

That's not happening anytime before the collapse of big oil. Two years from now at the earliest.

 

[TheTalkingMule]

We went over this many times. I'll give the TL;DR so we don't have to spend 20 pages on this again:
In theory a stock split does indeed not make the company more valuable, but in reality a split has the effect of the stock being more accessible to investors with little $$ to invest (and no ability to buy fractional shares) therefore the stock sees more demand than before the split but the same amount of supply. Result: higher share price.

Your TLDR is too short. The biggest impact is forcing market maker naked short positions to cover before the actual split.

 

[Big Time]

So I’ve heard multiple conflicting views for Shanghai closure. Is their a final ruling? Is it closed for 4 days?

 

[ggies07]

In theory a stock split does indeed not make the company more valuable, but in reality a split has the effect of the stock being more accessible to investors with little $$ to invest (and no ability to buy fractional shares) therefore the stock sees more demand than before the split but the same amount of supply. Result: higher share price.

Case in point: I just text my brother in-law who got out waaaay too early years ago and a friend that was never able to get in due to the high price.

 

[SOULPEDL]

Your TLDR is too short. The biggest impact is forcing market maker naked short positions to cover before the actual split.

Oh ya... it's all coming back now. It's like a refresher course on how/why HODL.

 

[The Accountant]

Your TLDR is too short. The biggest impact is forcing market maker naked short positions to cover before the actual split.

 

[Artful Dodger]

The close Friday matched that of the indexes. Everything moved in lock step at close, although it was a somewhat abnormal close. Looked like it was going to end weak, but then rallied during the closing auction as buyers stepped in.

Here's Friday's QQQ chart:

 

[elasalle]

View attachment 786965

Some of the memes posted here are classic ...
maybe there needs to be a "No FUN Police allowed " thread where all these are tagged for future reference

(what's life with money but no fun )

 

[TheTalkingMule]

Oh ya... it's all coming back now. It's like a refresher course on how/why HODL.

I made a more detailed(and I would consider most accurate) TSLA investment strategy post back on page 1 of this thread. 2nd or 3rd post in the thread. I don't like to give actual investing advice here, but when you have some time today pop back and read thru it. Let me know if you have any questions.

 

[Artful Dodger]

...but we didn't and we wish we had.

Bert had it right all along: Duck'n'Cover

Cheers to the Longs!

 

[SOULPEDL]

Your TLDR is too short. The biggest impact is forcing market maker naked short positions to cover before the actual split.

Agreed.
Robinhood allows anyone to buy fractional TSLA shares, so affordability is only half the story.

 

[UncaNed]

That's not happening anytime before the collapse of big oil. Two years from now at the earliest.

Why is DJIA not happening until that??

 

[ZachF]

Here comes CNBC - Craig Irwin, TSLA perma-bear, on talking the stock down. Why give this guy airtime - he has a price target of $250?!!!! He has been wrong for years. He is almost as bad as Gordon Johnson.

These people are hilarious.

$250 is a PE of ~17x this years likely earnings…

 

[SOULPEDL]

Bert had it right all along: Duck'n'Cover

Cheers to the Longs!

Silly me, I watched that clip. What happened to the monkey? BADABOOM... Gone!
Shouldn't play with dynamite. When will they learn?

 

[t153]

Why is DJIA not happening until that??

I think the Mule is hinting at the fact that he oil companies will have to be kicked out/replaced.

 

[inconel]

Agreed.
Robinhood allows anyone to buy fractional TSLA shares, so affordability is only half the story.

Can Tesla employees buy fractional shares in their ESPP?