TSLA Market Action: 2018 Investor Roundtable

[Fact Checking]

Well this sucks...

Staying Public

At least it was over quickly: 18 days of distraction only, instead of months plus a failed shareholder vote ...

Also, since the price had a net retreat since the going private tweet, what is going to happen on Monday? Are the Saudis going to continue with accumulating a larger stake?

 

[oneday]

This is probably not market related. Didn’t really know where to share. Its basically this twitter guy posting screenshots of an old employee that helped developed the infotainment system breaking his nda because he says it’s Expired. But definitely talking bad about the code.
ato̧̕m̀͡i̴̷̛c̨͝t͝҉͡h̷҉u̵̶m͜͞b͏͝s̀́ on Twitter

 

[vigleik]

Well this sucks...

Staying Public

That makes me so happy. I'm sure the stock will drop a few dollars on Monday, but I don't care.

I strongly believe that we will be well over $420 in a year, and much higher ($4000?) in 5-10 years. I didn't like the thought of being forced out at 420 one bit.

 

[defc0n]

Yeesh, and I was considering buying back in on Monday. Good luck all.

 

[Todd Burch]

I like this news personally, as an investor. I don’t really see a reason why the stock would drop on this.

 

[Fact Checking]

The unknown is how the SEC will react to this news.

Well, what Elon tweeted is what happened:

• He was considering taking Tesla private,
• Funding was secured, only contingent on shareholder vote,
• But shareholders indicated they wouldn't vote on it and find it a bad idea,
• Elon reconsidered, board agreed

Imagine the outrage had this been kept secret and then leaked.

 

[JRP3]

I’m happy that they are staying public. This has been a huge distraction.

Just wait till the FUD ratchets up to a whole new level, and likely even more lawsuits, with a stronger case. Expect the distraction to increase.

 

[wipster]

At least it was over quickly: 18 days of distraction only, instead of months plus a failed shareholder vote ...

Also, since the price had a net retreat since the going private tweet, what is going to happen on Monday? Are the Saudis going to continue with accumulating a larger stake?

Only the Shadow knows...

But it should be an interesting next three days.

 

[EVGhost3]

This is interesting news. It’s one of those situations where I feel good about it either way but I don’t want this to affect the company negatively. Putting aside all the legal bs, i think Elon was honest with the idea of it going private and sometimes I fee his missions is overlooked by short term interests. This is not coming from an Elon “Stan”, I keep up with his tweets and have my fair level of criticism of him. I believe his mission is far greater than a “get rich fast” scheme like these shorts and FUD make it seem to be. I think that’s another reason he’s known to get emotional often in interviews. I feel as if it’s coming from a place where he knows how much he’s gone through to bring his mission mainstream. Can any of us even try to imagine placing ourselves in a situation with this much at stake? I personally would be emotional every milestone.

We live in a world where we miss to understand what we have until it’s gone. All the greatest of minds in our history we’re always seen as crazies and outcasts. Not until late have did we realize the impact they had in our daily lives.

With that being said, I hope this decision serves them well and they succeed.

 

[defc0n]

I like this news personally, as an investor. I don’t really see a reason why the stock would drop on this.

What is the percentage of those holding shares now that are doing it solely on the possibility of a $420 buyout? I won't pretend that I know.

Of course, one must also consider those that sold or were not buying due to the possibility of them going private at $420 (but at current SP of ~$322 that wouldn't seem very likely).

 

[Remus]

This is probably not market related. Didn’t really know where to share. Its basically this twitter guy posting screenshots of an old employee that helped developed the infotainment system breaking his nda because he says it’s Expired. But definitely talking bad about the code.
ato̧̕m̀͡i̴̷̛c̨͝t͝҉͡h̷҉u̵̶m͜͞b͏͝s̀́ on Twitter

Disgruntled employees are in every companies. FFS Amazon had a sensational news coverage about their employees cry in the office, and suicides!

 

[UnknownSoldier]

Seems more like a major disaster. I expect the stock price to get hammered Monday and for a while there after.

Worse than that, everyone who is suing now has a strong case and more people will sue.

I'm pretty mad myself, I was told that funding was secured and I was holding my stake because I was told we were going private and certainly if we retail investors weren't allowed to go private, I would still have been bought out for a premium at $420 a share.

And wow, dropping this bomb on a Friday night so no one can react. Normally your weekly Business Insider FUD drops on a Friday, but this is worse than any FUD that I can think of.

 

[beachbum77]

At least it was over quickly: 18 days of distraction only, instead of months plus a failed shareholder vote ...

Also, since the price had a net retreat since the going private tweet, what is going to happen on Monday? Are the Saudis going to continue with accumulating a larger stake?

I think they have already bought what they wanted. It does not seem they wanted to exceed 5% when they easily could have. I doubt they are happy being linked into a failed effort to go private. Now the question is will they stay? I guess it depends on what encouraged them to buy in.

 

[Remus]

Well, what Elon tweeted is what happened:

• He was considering taking Tesla private,
• Funding was secured, only contingent on shareholder vote,
• But shareholders indicated they wouldn't vote on it and find it a bad idea,
• Elon reconsidered, board agreed

Imagine the outrage had this been kept secret and then leaked.

Yeah sane people with a lot of good will like us will interpret that way. For shorts it's Elon will face SEC charge next week. And go to jail the week after that.

 

[defc0n]

What is the percentage of those holding shares now that are doing it solely on the possibility of a $420 buyout? I won't pretend that I know.

Of course, one must also consider those that sold or were not buying due to the possibility of them going private at $420 (but at current SP of ~$322 that wouldn't seem very likely).

Furthermore, how many shorts out there covered due to the possibility of a $420 buyout, and will now be willing to short once again?

 

[wipster]

You mean some FUDsters may question Musk's credibility/sanity?

Wonder if the SEC will be among them.

I doubt it. I believe Elon was truthful in all of his tweets and messages and this announcement seemed honest as well. I think he's disappointed as he's talked about his desire to go private before, but that isn't a sign that he isn't credible or sane. In fact I think it sends the exact opposite message.

He's certainly going to make the FUDsters on SA and other places work the weekend though...

 

[sundaymorning]

Staying public!

Staying Public

I don’t know about you guys but I’ve said it from the beginning.. we are on the verge of profitability, our AMZN moment is here, there’s no need to go private. Just raise capital and build! Now more than ever we need 6k cars to prove the naysayers wrong. Heck yeah! I’m excited, glad, happy! All of the positive emotions. As long as we get to profits, all will be forgotten.

 

[Todd Burch]

Furthermore, how many shorts out there covered due to the possibility of a $420 buyout, and will now be willing to short once again?

With positive cash flow and profitability almost a certainty for Q3 and beyond, they’d have to be the extra stupid kind.

 

[Fact Checking]

It does not seem they wanted to exceed 5% when they easily could have.

To state the obvious: the main reason investors stay below the reporting threshold is to not report, i.e. for their interest to stay secret.

Since their stake has been made public, the Saudis are now free to invest, if they so want.

 

[jhm]

Hmm, no go private. Maybe internal funding is secure for future growth as public company.

Going private is one way to escape the clutches of Wall Street, self-funding is the finger that keeps lifting higher.