TSLA Market Action: 2018 Investor Roundtable

[Boomer19]

I think Murdoch was the front runner, until Elon announced he wasn't.

The chairman selection process should be a closed door, cards close to the chest kind of thing. How tf does this get leaked to the media. Elon was pissed by the leaks at the highest level, and wanted to send a message that this is not done. I think fairly so.

Or he is playing a game with the media, or possibly leaving some crumbs to find who the leaker is. There's a small chance this happened with Elon's approval, but very unlikely IMO.

exactly. there has been way too many people “familiar with the boards thinking” recently in the face of the media onslaught and other market bullshit.
nobody that we are currently talking about should be the damn chairman. i want someone iron effing clad bc i’m not sure i trust anyone that has been suggested up to this point.

 

[omarsultan]

Man, even CarBuzz is doing stories on Tesla's debt payments (143 days from now...tick, tick, tick)--no I'm not providing a link, they don't deserve the clicks. I guess that really is the next item on the list of short/troll talking points.

 

[generalenthu]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

 

[EVNow]

tomorow might be brutal because the chinese stock market is crashing pretty bad down 4.5 % so far

It could be a reaction to NYSE going down today.

 

[dmckinstry]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

View attachment 342687

I like the way he stated that it "is in the best interest of investors", but didn't say that it was "fair".

 

[NikeWings]

My my my .....what has T Rowe Price done?

 

[sundaymorning]

My my my .....what has T Rowe Price done?

I’m unable to open this file, are you rehashing news from earlier this morning? Or have T Rowe bought some more on today’s dip.

 

[sundaymorning]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

View attachment 342687

Thanks Elon. You did the right thing, took one for the team... while shareholders took a few punches to the chin and gut. Now that this is out of the way, please show profits so I can smile and show you all my broken teeth from $420. Let’s not take anything private anymore, stay public and keep executing.

 

[NikeWings]

@sundaymorning I've been on planes for 12 hrs and just got a ping for the filing 20 mins ago. EDGARS might be very delayed or my int'l cell service is a dog. N o internet on the flights, what did they do earlier? Just catching up sorry. Time warp wth happened to the market today? HC!

 

[sundaymorning]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

View attachment 342687

In any settlement or lawsuit you want to say what you have to say with the least amount of words as possible. You don’t want an opportunist taking advantage of your lengthy wordiness and spin it out of context in the future, especially the media these days...

That goes with “thank you” as well. Leave that out and don’t give the other party anything.

I’m glad he’s picked up a good lawyer.

 

[mongo]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

View attachment 342687

For so much writing (rehashing the penalty), I'm not seeing much of a justification on the SEC side:

So yeah, we think 200x the normal max is a good number...

Hi judge, It's good because it's something.

 

[SpaceCash]

I know I'll get some clapback for this but... TSLA should issue a dividend to shareholders in Q4.

This will flush out and account for all short shares, which would have to pay the dividend themselves.

I just want to see fireworks ok? Just one time. I don't even care if they issue a dividend again.

 

[BioSehnsucht]

I assume it is expected for the judge to merely rubber stamp the settlement at this point, however, if the judge for some reason doesn't like it (whether it be thinking the SEC too harsh or too lenient), what happens? Can the judge dictate terms somehow (in other words, saying what they'll accept so the settlement can be amended to match), or just reject the settlement and SEC & etc have to come up with a new plan and hope it sticks (or do they not even get a second chance, and it's off to trial)?

 

[NicoV]

Its likely that Jame's folks are planting stories to promote his candidacy. Clearly he is vying for that position.

I really hope the chairman
- Has vision & mission that aligns with Tesla's providing solutions for Climate Change mission.
- Has experience as either CEO or Chairman of a well known Fortune 500 tech or auto company.
- Has a relatively clean record.

James Murdoch is dubious on all these counts.

Purely in terms of SP, naming someone with a lot of market cred will help SP, atleast in the short term.

Al Gore would be excellent. Nobody would doubt his motivation to be chairman, and he is certainly independent. (Note: I read somewhere that Al Gore was mentioned as possbile chairman).

 

[Fact Checking]

I know I'll get some clapback for this but... TSLA should issue a dividend to shareholders in Q4.

Generating cash and paying back ~$400m of debt in 4Q18 and $920m in 1Q19 has dividend-alike benefits: it increases shareholder value by ~$7.7 per common share.

As for the rest of the cash: Tesla should use it to grow and prosper, they generate much higher returns that way than average market returns.

 

[NikeWings]

OK all caught up - 268 posts boom!

 

[Fact Checking]

I assume it is expected for the judge to merely rubber stamp the settlement at this point, however, if the judge for some reason doesn't like it (whether it be thinking the SEC too harsh or too lenient), what happens?

I'm not a lawyer, but I'm not sure that at this early stage of the lawsuit the judge can do much, even if she wanted to: no facts are known - everything in the suit is allegations which neither Tesla nor Elon admit to, and there's been no reply brief yet.

So everything at this stage would have to go against the SEC I believe, on a "even if all the allegations are true, the law says ..." basis. Constructing anything against Tesla or Elon would be hugely prejudicial.

(There might also have been a phone conference between the judge and the lawyers of both parties, from which the parties gained information we don't know.)

From the length of the justification (SEC: 3.5 pages, Elon and Tesla: one sentence) it is pretty apparent that the SEC was the party worried more about the judge not approving...

 

[mrdoubleb]

Settlement secured. Joint letter for court was entered. Onwards.

SEC took 3.5 pages to make its claim. Elon on the other hand..

View attachment 342687

Haha I love this! Adding only a single sentence and worded like this, only referring to shareholder interest, clearly expressed he feels this is unjust but his hands are forced for the good of the investors. That sentence is the biggest FU anyone could give in a settlement while still technically agreeing to it.

 

[Mich]

My my my .....what has T Rowe Price done?

Can someone tell me what the difference of the 7m "sole voting power" and the 17m "sole dispositive power" means?

 

[Fact Checking]

That sentence is the biggest FU anyone could give in a settlement while still technically agreeing to it.

It's also 100% true: Elon and Tesla are settling only to avoid further collateral damage to shareholders which a pending SEC lawsuit causes.

What else constructive is there to say in response?