There’s a rule in the stock market that you usually don’t go after the “shorts”. The “shorts” being those investors/traders who are shorting your company’s stock. It just hasn’t proven to be a successful strategy. During the financial crisis, banks in trouble blamed the shorts. But in this case, Elon Musk is sort of stomping on the shorts while his stock soars higher.
Who knows who will be right in the long run, but probably not a good idea to bet against someone who’s landing rocket ships on boats. Today Tesla’s stock is up nearly 6% and hit a new all time high of around $295 per share.
Stormy weather in Shortville …
— Elon Musk (@elonmusk) April 3, 2017
This isn’t the first time Elon Musk has taunted the shorts though. Musk tweeted out a similar trolling type tweet four years ago when Tesla’s stock was just $50 a share.
Seems to be some stormy weather over in Shortville these days
— Elon Musk (@elonmusk) April 25, 2013
The most famous Tesla short is Jim Chanos…who said the Solar City and Tesla merger was ridiculous. I wonder if Chanos will respond to Musk’s tweet….
Not sure at what price Chanos went short Tesla shares, but back in September of 2016 when he talked about the Tesla and Solar City merger, Tesla traded for $200 a share, now it’s nearly $300. I’m sure we’ll hear from Chanos soon…