The last time Elon Musk commented on the short interest on Tesla’s stock, he warned that anyone holding a stock position against the company will have a “tsunami of hurt” coming for them. During the 12 following months, Tesla’s stock price increased by 461%, a lot of which was attributed to a short squeeze after Tesla reported its first quarterly profit in Q1 2013.
Today as short interest on Tesla is close to an all-time high, Musk commented on it again. Though he was more cautious in his choice of words than last time – so maybe not a tsunami 2.0.
Since this weekend, the CEO has been answering questions on Twitter. It was mainly about the recently unveiled Model 3, but interestingly, today he diverted from the Model 3 theme and answered only one question today:
“What would you say to someone who is shorting your stock?”
Musk’s answer was simple: “probably unwise”.
@Brianmrtz probably unwise— Elon Musk (@elonmusk) April 5, 2016
During the last short interest report, NASDAQ confirmed that short interest was at 32 million shares on Tesla’s stock – down from the high of 34 million in February.
Tesla’s stock (TSLA) opened down 2% this morning following yesterday’s announcement that the company missed its Q1 delivery guidance of 16,000 units and delivered a total of 14,820: 2,400 Model X vehicles and 12,420 Model S vehicles. But it started climbing this afternoon and closed up ~3.5%:
Even though total deliveries were disappointing, the Model X production rate of 750 units per week confirmed by Tesla compensated for the bad news and it represents a good sign that Tesla can exist the second quarter at 1,000 units per week; it’s previously stated goal.