TSLA

Discussion in 'Options' started by oldnemesis, Jul 27, 2016.

  1. http://finance.yahoo.com/news/tesla-opens-gigafactory-expand-battery-204937250.html

    http://www.msn.com/en-us/money/stockdetails/fi-126.1.TSLA.NAS

    http://www.msn.com/en-us/money/stockdetails/financials/fi-126.1.TSLA.NAS

    http://finance.yahoo.com/chart/TSLA

    Trade:
    with TSLA at 229.51
    Jan 150/145 bull put spread for a net credit of $80
    Yield = 80/420 = 19% in 177 days or 39% annualized
    Prob = 87%
    Expectation = .87(80) - .1(420) - .13(210) = 69.6 - 42 - 27.3 = 0

    Price ............Profit / Loss............ ROM %
    100.00.............. (419.00).............. -81.00%
    140.00.............. (419.00).............. -81.00%
    145.00.............. (419.00).............. -81.00%
    149.19................... 0.00.................. 0.00%
    150.00.................. 81.00................ 19.00%
    178.93.................. 81.00................ 19.00%
    215.00.................. 81.00................ 19.00%
    250.00.................. 81.00................ 19.00%
    290.00.................. 81.00................ 19.00%
     
  2. Tremendously overvalued IMHO. Short calls may be more appropriate.
     
  3. vanzandt

    vanzandt

    Agree. Its a paper tiger. But what are you gonna do(?), Musk will come out tomorrow and say he's got cold fusion figured out and the stock will go to $400. What a scam.
     
  4. Just look at this graph:

    http://www.msn.com/en-us/money/stockdetails/financials/fi-126.1.TSLA.NAS

    Looking at that graph there is no value to be had in TSLA. It's worthless.

    BUT I would never short it. Usually I stay away from such stocks until they prove themselves on financial terms.

    The only reason I have the spread I have is that TSLA fans have been waiting for the battery factory and apparently here it is.
     
  5. marsman

    marsman

    You seem to be a long-term investor.
    For short term traders there is profit possible to make with TSLA.
    Of course it has nothing todo with the fundamentals of the company.
     
  6. I know, I know...that A-hole keeps doing these announcements to sting the short-sellers.
    He should be locked-up.
     
  7. http://finance.yahoo.com/news/tesla-solarcity-set-announce-merger-003337793.html

    So Musk is going to merge with himself. The major change for stockholders would appear to be those holding SCTY stock will find themselves holding TSLA stock instead.

    Also the number of times a week that Musk has to drive between San Mateo and Palo Alto will be reduced. It's about 18 minutes a trip.

    http://finance.yahoo.com/chart/TSLA

    We're holding the 150/145 bull put spread.

    There may be some increase in implied volatility but I doubt it. While it may seem a non event it does point out Musk's strategy re Solar/Batteries/Cars.

    Musk's future vision would put a battery in your basement, solar panels on the roof and a Tesla in your garage. It's too bad that fracking came by to reduce the cost of fossil fuels in the middle of his game plan.

    http://fortune.com/2016/07/21/elon-musk-master-plan/

    http://www.bloomberg.com/news/artic...is-tesla-master-plan-costing-tens-of-billions

    :)
     
    Last edited: Aug 1, 2016
  8. #10     Aug 3, 2016