TSLA Market Action: 2018 Investor Roundtable

[mrdoubleb]

Has Gali's video been shared here yet? We need to vote it up on Reddit, give it the views and likes on YouTube, Tweet it at Elon so he watches. He perfectly summarized in 10 minutes how most of us feel I think. Not a word I don't agree with.

 

[Right_Said_Fred]

Bought 10 this morning @267. Order just now in place for 10 more @261. Will move more dry powder to my account in case we drop further. Plan to hold for at least five years.

Our Dutch government (right wing-centrist) just said we need to have 3 million electric vehicles on the road in 2030. Tesla’s are very popular here, so that will mean a lot of demand for Model 3 and Y in the coming years.

 

[neroden]

Softbank is $2.25B into Cruise, not sure why they'd then buy into Tesla?

Softbank invests in *everything*. Actually, some analyses say that they're massively overleveraged. The rules in Softbank's home jurisdictions (of which there are several, for different subsidiaries) appear to have been gamed for maximal leverage -- worries me.

 

[Buckminster]

Looked at buying a lottery ticket. $17 for 280 strike price 9th Nov. Seems excessive so I didn't. Also wondering about exchanging Jan 19s (300) for June 19 (350s). About 1:1 ratio. I am not used to running this close to exercise date but I have seemingly chosen to go down with the ship alongside Elon....

 

[beachbum77]

If you were a big institution weighing whether to stay in or leave after the SEC settlement, would last evening's Twitter antics make you more or less likely to stay?

Less, obviously.

 

[neroden]

Got a reference for this requirement that stockholders have to sign up for their stock to be lent out to short sellers?

From Investopedia:

When a trader wishes to take a short position, he or she borrows the shares from a broker without knowing where the shares come from or to whom they belong. The borrowed shares may be coming out of another trader's margin account, out of the shares being held in the broker's inventory, or even from another brokerage firm. It is important to note that, once the transaction has been placed, the broker is the party doing the lending and not the individual investor. So, any benefit received (along with any risk) belongs to the broker.

Nothing in there about some elective sign-up policy.

You're in Iceland. I have *no idea* what the rules are in Iceland. I understand that in some European countries, the brokers can lent out anyone's shares unless you get actual certificates.

In the *US* there is a rule prohibiting brokers from lending out fully paid shares or "excess margin" securities without a specific, separate sign-up.

 

[Todd Burch]

It absolutely DID confirm that? What is your angle here

It's not a comment against Tesla or Autopilot. In fact, I do about 90% of my commute on AP. It's great and I love it, but Tesla's stats only confirmed that accident rate with autopilot engaged are lower than without.

HOWEVER, keep in mind that autopilot is typically engaged in scenarios which are less likely to experience accidents in the first place, such as highways. It's not a knock on Tesla's numbers or autopilot...just a pure unbiased analysis of the facts.

You can't draw a line from that to say that "autopilot drives better than humans", which is categorically false.

 

[Esme Es Mejor]

Setting buy points for today starting around $260 down to around $248. No point to setting any sell orders in this market - I doubt we'll get to a good sell point until after the Q3 report.

I hope your first buy point was 260.01 or higher!

 

[beachbum77]

Really? You don't understand why the stock keeps declining today?

View attachment 341091

Karen, the markets are down about 1.5%...TSLA is down 7%. How do you see a correlation?

 

[Xpert]

I'm not seeing any strong reason for this — just the jobs numbers? Missed expectations from federal level?

Market freaked out due to strong unemployment causing 10 year yield to rise to 7 year high because investors are afraid that inflation will shoot up and Fed will have to raise rates quicker. high yield might mean more rotation into bonds. that said, I believe this is only temporary thinking because the Fed isn't stupid, trump's pro-stock market, as well as robust economic growth and strong earnings.

 

[Do It]

Shorts can't do much damage if longs stay strong. I am disappointed that Elon attacks shorts instead of focuses on convincing longs. Shorts will do what shorts do and that is out of our control, but what is within our control is to stay strong. Go out there to give people rides and educate them about what an unique and great investment opportunity tsla is.

 

[BenPrice]

Elon Elon Elon!!!

F the SEC for defending the shorts.

Funding was secured as Elon believed. Secured doesn't mean signed for or committed.

Fight the power or die with honor!

Agree 100%

FIGHT. LOUDLY.

 

[Boomer19]

Seems like Elon really hates short selling. I proposed a solution to him on twitter. If you guys could like it, I think it'd work out for all parties. Please retweet at Elon.

DL on Twitter

you don’t have a say in it unless your shares are fully-paid

 

[RoadsterPlease]

264, we good fam

 

[Intl Professor]

From a macro market level, interest rates (bond yields) are rising fast. That makes debt (which governments have a ton of) more expensive to service. Also if yields are high more money will flow there instead of in riskier assets like property or stocks.

It's nothing crazy just a healthy correction for the time being.

Our wealth manager has been worried for some time. Recently we permitted sale of anything not Tesla and caution about BIDU (cost basis $8.76/share, cough!). We were 30% cash, now probably more because of last few days' dives.

 

[dqd88]

Hi all -- new here. Been following this board for about the last month since I started acquiring some TSLA shares. Small-fry investor with approximately 50 shares purchased at $267 looking to go long (and gradually increase my holdings).

I understand this question is possibly better asked elsewhere, but am wondering what the board's view is on how a possible US/global recession in 2020 would affect the operations (and therefore stock price) of Tesla. Anyone have thoughts on that they're willing to share?

Looking forward to participating in the discussion going forward.

That's very forward looking.
Likely no recession in 2020. Perhaps a small breather. The middle class across the globe is expanding. Poverty is declining. I don't see the trend ending. Bigger middle class equals more consuming and more earnings for a broad array of companies.
Capital flowing to many startups spurred by disruptive new enterprises. Even legacy OEMs are having to spend billions to transition. This isn't a one-time stimulus, will be a constant/steady stimulus over next 10 years.
If capital were sitting on sidelines, that would make us more susceptible to recession imo. But I see almost a renaissance type attitude occurring from both institutional money and billionaire's like Bezos who are spending on all kinds of projects. But of all the big projects and disruptors (weed, AI, space, crypto, biotech, etc) it seems the biggest beneficiary is auto.

That said, a recession would affect the entire auto industry, Tesla included. By then however I believe Tesla will have a stronger balance sheet.

 

[TSLA_Hopeful]

264, we good fam

We stay long blud!

For those who don't know:

 

[SpaceCash]

We stay long blud!

For those who don't know:

Hell yeah, this one also goes out to all the shorties

 

[Buckminster]

I'm a goner blud. One of the few things going right in my life at the mo...

Edit - gooner not goner. What must you Americans think of us....Can't spell and can't talk about our "soccer" team in a sensible manner.

 

[Boomer19]

Feel free to add.


First draft below. Would welcome everyone's thoughts and edits. IANAL, but I don't see any reason we shouldn't be able to make this happen.


Dear Elon/Tesla board,


Thank you all for the hard work that Tesla has done to push the limits of innovation and bringing us to a sustainable future. We as retail investors also share your concern on short selling. Short selling, when done right, can have a positive impact for society by allowing people to de-risk and create efficient capital markets. With Tesla, we’ve seen shorts who will publish demonstrably false slander to actively hurt the company. That is not beneficial, and even criminal.


We share your opinions on short selling, but until now, we have not had an alternative. We ask that the IR team at Tesla helps us as follows:

1. Work with a reputable brokerage firm(e.g. Fidelity) to provide retail investors an option, so that at no one-time or maintenance fees to us, we can transfer our shares into a particular account at that firm. Even if Tesla has to spend a small amount of money for administration, we believe this option brings investors closer with the company
   
   
2. The brokerage firm will then agree to not lend out shares to shorts, and in all other capacities, act like a standard brokerage account (both for standard accounts and IRAs)
   
   
3. Then, we would request that you at Tesla’s CEO work with institutional investors to get them to not lend shares short. We hope you would only have to speak with 10-15 people.

Up until now, we have not had options where our shares aren’t deployed against us. We encourage the Tesla IR team to look into this idea, and if the legal team determines it to be feasible, help provide the Tesla community/supporters an option.


Respectfully,


The Tesla Faithful

this is all fallacy and against rules/regs

brokers can lend, pledge, or basically roll up and smoke your electronic shares that you bought using credit/margin that they gave you.

if you paid cash for your shares (fully-paid) then the broker cannot lend them...unless you enter into an agreement with them to allow them to do so. usually they kick you 1/2 the yield over the life of the loan.