Wrong again - Tesla headed down after breaking through support on the graph. Like Russian roulette this one!
Oh how the mighty have fallen! We have seen $15b wiped off the value of Tesla in the last 6 weeks and analysts are still very nervous about the short term. Has the company been "found out" or is this just another hiccup in the volatile history of the company?
The bears will be all over this with shorters coming out of the woodwork. This will be Elon Musk's biggest personal test yet.
Interesting to see that the non-guaranteed Tesla bonds had to give a relatively high yield to get the fund raising away. Bizarre! Cutting edge technology and shares valued on sky high ratings while some of the bonds are approaching junk status. Is the bond market right or is the equity market right about this company?
In my view this stock is fighting a losing battle to stay above $300. A cash crisis is looming and the cost of finance will increase sharply when they decide to raise new capital. Short short short................
This is a dead cat bounce and wont last in my view. If investors continue to turn against the company this will make it more and more difficult to raise funds in the future. A very crucial time for Tesla in my view.
The headline news from Tesla today is great but they can't produce enough Model 3s so how are they going to supply other new vehicles to the market? It is not even an issue about money it is about finding the right number of experienced workers to deliver these vehicles. Anyone noticed that Tesla seems to bring out a big announcement every time the going gets tough?