Tesla price drop and share price rise, what’s the plot?



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Original Title: Tesla Price Drop and Stock Price Rise

There has been more and more attention to the Tesla news these days. For at least two things: First, Tesla’s stock price will skyrocket in 2020, establishing first place in the S&P 500 Index. On December 31, 2020 local time, Tesla closed higher than 1 , 57% to close at 705.64 US dollars, setting a new high again with an annual increase of around 743%.

Tesla shorts suffered. The bears can be described as repeated defeats and defeats, and eventually they came back defeated. Tesla’s short book loss in 2020 exceeds $ 38 billion. This figure has far exceeded the losses caused by shorting other technology stocks: the second worst hit area for short sellers is Apple, which lost almost US $ 7 billion.

As a result, a large-scale short-circuit scene appeared on the market last year: Tesla’s stock price rose, and the short position either forcibly liquidated the position (causing the share price to rise further) or increased the position to spread the cost, the former accounted for a significant proportion Most of the short positions have fallen from nearly 20% a year ago to less than 6% today. The shorts drew energy to suck and sang empty, and they were persevering and tenacious. The only thing they forget is that electric vehicles represent the direction of the automotive industry and Tesla is the world leader.

Traditional auto conservatives and oil traders who had secretly fought Tesla eventually passed out in the bathroom. Including all the articles I wrote on Tesla, it became the target of conservatives. Some conservatives are ignorant and ridiculous, they keep saying that cruising range cannot be solved, that there is nowhere to charge, and they worry that the cost of battery replacement is too high and not environmentally friendly. Toyota CEO Akio Toyoda stated that if all cars are powered by electricity, there will be power shortages in Japan in the summer. At the same time, if Japan is too careless in banning gasoline cars, the current business model of the auto industry will collapse, causing millions of people to lose their jobs. Furthermore, the infrastructure required for a full transition to electric vehicles will cost Japan from 14 trillion to 37 trillion yen (135 billion to 358 billion US dollars). Akio Toyoda probably ate a basket of sour grapes.

In Tesla’s most difficult period, Musk had looked for a buyer, but he was ignored and Cook regretted it. The story is the following. To increase the production schedule, when Tesla production could not keep up with scheduled demand, it needed to invest capital to expand production. At the time, Musk wanted to find Apple to invest in stocks or mergers, but Cook didn’t even attend the meeting. A few days ago, Apple said it was ready to invest in the production of electric vehicles and was preparing to acquire a company. “During the darkest days of the Model 3 project, I contacted Cook and wanted to discuss with him the possibility of Apple acquiring Tesla. But Cook refused to meet with me,” Musk said. He tweeted: “The plan at the time was to seek to be acquired by Apple at a price of one-tenth of Tesla’s current market value.” In other words, he expected to sell Tesla to Apple for $ 60 billion. And the current market value of Tesla is as high as US $ 668.905 billion. Market value has exceeded the sum of the nine traditional auto companies, including Volkswagen, Toyota, Nissan, Hyundai, GM, Ford, Honda, Fiat Chrysler and Peugeot. If Apple had bought it for $ 60 billion at the time, it would have made 10 times in less than three years.

When the share price rose dramatically, the price of Tesla’s electric vehicles fell dramatically in China. On the first day of the new year, according to the official website of Tesla in China, the starting price of the long-life version of the Tesla Model Y is 339,900 yuan, compared with the previous 488,000 yuan, a reduction of 148,100 yuan. The high-performance version of Tesla’s Model YPerformance starts at 369,900 yuan, up from 535,000 yuan previously, down 165,100 yuan.

Chinese executives are reported to have said a few days ago that there is not much room for future price cuts and as a result, prices are suddenly reduced. Of course, it is really good for those who are eager to buy electric vehicles, Tesla will send profits on the first day of the new year, which is very interesting.

I was planning to buy a Tesla Model YPerformance, which was over 160,000 cheaper at a time, which was a bit tempting. Consider whether to buy in advance.

The price range of Tesla’s China region reduction may not be very good for China’s domestic new energy manufacturers. The beginning is too cruel. However, it is difficult for other manufacturers around the world to compete with Tesla. From an ideological point of view, other sellers lost. Elon Musk’s goal of going into electric vehicles is not to make a profit as a first goal, but for environmental protection purposes. And other manufacturers have the sole objective of making money as their first objective.

Within 10 hours of the Tesla price announcement, order volume surpassed 100,000. The media also said that around 300 China-made Model Ys have currently been produced from Tesla’s Super Factory in Shanghai, and these 300 new electric vehicles are used for display purposes.

As for the Model Y price cut, everyone is concerned about home electric vehicles, saying bluntly that “this is not a catfish, but a shark.”

In a word, Tesla’s stock price is not at the highest, and it continues to break short positions; As technology advances, the costs of Tesla cars still have room to fall, prices will continue to fall and they will continue to squeeze the market of other manufacturers.Return to Sohu to see more

Editor:

Disclaimer: The opinions in this article only represent the author himself. Sohu is an information publishing platform. Sohu only provides information storage services.

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