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Teslanaires

Discussion in 'TSLA Investor Discussions' started by Cattledog, Jul 28, 2013.

  1. Cattledog

    Cattledog Active Member

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    As the stock continues to appreciate, we will undoubtedly see the birth of many Teslanaires - for arguments sake let's say anyone who has realized $1M of gains through stock trades of any ilk, pretax. While we might taxonomize to more groups, three that stand out are investors who are Tesla car owners, investors who are Tesla employees, and simply TSLA investors. There are already reports of some on other parts of this forum, one I recall was in the 10s of millions of dollars. To what good purpose will people put this new or increased wealth?
     
  2. TSLAopt

    TSLAopt Active Member

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    Good question...if the price keeps going I hope to be there soon enough with all my options and will do a few things:
    get a Model X
    My wife will also be able to stop working and be a stay at home mom
    Possibly launch a small hedge fund and or RIA business at some point if it goes up a lot more
     
  3. haid

    haid Member

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    I suppose I am one. All of my retirement is in Tesla. People say I'm crazy, but it has put me in this club twice over. I would love to buy a model S, but its beyond my budget in normal assets and income. I can't bring myself to incur the 10% penalty of cashing out some of my IRA account.
     
  4. c041v

    c041v Member

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    I wasn't able to put in as much a many on this board, but my eventual dream is to fund an X and possibly pay off my condo with TSLA gains. I have a core holding of stock and, I'm now using options to enhance any gain the stock may see.
     
  5. ckessel

    ckessel Active Member

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    Anyone becoming a Teslanaire had a lot of money to spare to begin with. Even if you bought in at $25 and it goes to $250, you had to have $100,000! I do well as a software engineer, but I'll never have 100k laying around to invest outside of my 401k.
     
  6. austinEV

    austinEV Active Member

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    You have to work as an engineer for 10-15 years and quit and get a new job. Roll over the 401k into an IRA then you have a self-directed IRA. Otherwise yeah its real tough.
     
  7. rolosrevenge

    rolosrevenge Dr. EVS

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    Right behind you...
    If you put 10k in call options back in early March, how much would you have now?
     
  8. StapleGun

    StapleGun Member

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    I'd love to see some historical price charts for options.

    The first post in the advanced options trading thread says "Let' say you were lucky/smart and purchased the May $35 call on March 25 for $3.25". It depends when in May the call was for, but assuming it as after the earning report it could've been worth as much as $60. So your $10k is now worth about $185k. If you were nuts and rolled all of that into more options, especially during the dip back into the 80's. It's possible you could be over $1 mil from that. Unlikely, but possible.
     
  9. haid

    haid Member

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    That is exactly my scenario, a self-directed IRA. I had a 6x return from AAPL and then two years ago I switched it all to Tesla. The brokerage professionals tell me to sell and diversify, but then that is exactly what they said at 30, 50, 90... for that matter it is what they said when I owned Apple.

    I'm told, I can start drawing down the IRA without penalty in a few years, when I hit 55.
     
  10. DaveT

    DaveT Searcher of green pastures

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    Wow, that is just too awesome. All in with Apple and then now all in with Tesla. Hard to beat that.
     
  11. CapitalistOppressor

    CapitalistOppressor Active Member

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    I'm seriously considering taking my money out and retiring early. Maybe open up some Subway franchises and getting certified as a teacher.
     
  12. jak

    jak Member

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    You guys are making us thousandaires look bad! We hope to catch up with you soon. :biggrin:
     
  13. deonb

    deonb Active Member

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    #13 deonb, Jul 29, 2013
    Last edited: Jul 29, 2013
    I had a 80x return on calls since March, and I didn't play it all that well at all (lost out on the $70 to $80 Friday move due to 5 minutes of ill timing - which would have doubled the 80x to 160x. I also spent too much on puts on the way up). But still, with an 80x return you just need to start with $12'500 to now be at $1m.

    Unfortunately I started with a lot less, but hey, I'm effectively able to buy a 60 kWh for under $1000 - how many people can say that :).
     
  14. Citizen-T

    Citizen-T Active Member

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    Actually, I think the young guys that got in early are the lucky ones. The math works both ways, and the risk is much smaller for them. You just have to do it the other way around. You start with a small sum which you've grown quickly by investing in Tesla. Now you do what the "old timers" did first. You take that cash and invest it across a number of safer dividend paying stocks and re-invest the dividend.

    Let's say you started with $10k invested in TSLA at $20 (my first buy was at $19, so that's reasonable) and you rode that to $200 (probably sometime this or next year). You now have $100,000 (hardly a Teslanaire). You decide to diversify at this point (yes, some of it can stay in TSLA). Let's say that for the next 15 years your portfolio grows at a more "average" 10% rate. At the end of that time period your TSLA winnings are worth ~$400k. Remember, that's just your TSLA winnings. You still have to add in all the other money you've contributed in that time period and the growth from that portion of your portfolio.

    So, if you are young and your investment seems small compared to those around here with a few $100k to throw at TSLA, fret not, you too can a Teslanaire at the same stage of life as those that are hitting that mark today.
     
  15. toastypasta

    toastypasta Member

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    No clue but i've been only playing options since march and have been doing damn good.
    With 4k initial investment i realized over 30k in profits and continue to roll and day trade certain leaps and closer plays.
    Definitely doing solid.
     
  16. deonb

    deonb Active Member

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    I have some historical data from Q2. It will make you sad.

    The best single trade I think you could have done was on April 8 to buy the June 22 $60 calls for 5c each, which if held until expiration netted $40 each.

    i.e. If you bought 250 contracts for a total of $1250 + commission, it would have netted $1m at expiration.

    The really sad thing is this was after Elon announced Q1 was positive.
     
  17. toastypasta

    toastypasta Member

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    If i simply held every single thing i bought along the way, i'd probably be up to 200k in profits.
    for example i had august 150 calls. sold them on friday for a cool 50% gain. could have sold today for way more.
    This happens to me once a week. i buy stuff and sell it the next day for 50%
     
  18. TSLAopt

    TSLAopt Active Member

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    Not true...I started with just under 20k in my brokerage acct and put it mostly in TSLA options (LEAPs) last year...just was down to 13-14k acct value in Jan and now am up about 5000% from there. If I had just bought the stock I'd be up 300% which is still great but not life changing like the options turned out to be. Options were the way to go for this very special once in a lifetime situation of the Model S coming out, it was either going to be revolutionary or not and I figured I'd know by Jan 2014 when the options expired....my hypothesis was the stock would either go above 100 or below 10 by then, I'm sure other Teslanaires thought that too and took advantage with options as well.
    l
     
  19. sleepyhead

    sleepyhead Active Member

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    That still doesn't make you a Teslanaire :tongue:

    All kidding aside (since you are more than halfway there), good job on the LEAPS play and I agree with you that you can easily make a lot of money in options without a lot to begin with. You just have to find that once in a lifetime investment opportunity before the market does and go all in while options are still cheap.
     
  20. GenIIIBuyer

    GenIIIBuyer Member

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    At $841/share, I'll be a Teslanaire. Setting the Good Til Cancelled, Sell order now :smile:
     

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