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Comment by lrn | Hacker News Reader

Worth noting that Elon just purchased 72,000 TSLA shares worth $24,000,000 (purchased June 12 & 13).

Not an expert but this amount is pretty much nothing for a guy like him. This can easily be a pure PR move.

since Elon does not really have a lot of actual cash I would say it is more than a PR move depending on where he got the cash from

How do you know how much cash Elon has?

Preferred or common shares because those are two different signals.

Common, I believe.

Common: https://www.reuters.com/article/us-tesla-musk/elon-musk-buys...

Common stock bought on the open market.

With money borrowed using Tesla stock as collateral. There’s going to be a bloodbath if the stock dips too low.

source?

Let's hope Elon has been completely forthcoming about Tesla's next few months, because if not this purchase could be treated as insider trading.

No, it wouldn't. Trade windows exist for a reason.

I know it's not the most pristine new organisation there is, but this was a rather interesting and unsettling read: https://www.zerohedge.com/news/2018-06-13/after-taunting-sho...

If the article is correct, that he bought those shares specifically to burn the shorts, then good for him. It's no coincidence to me that in a time where TSLA has the largest short position on the planet that there seems to be daily front page negative press. Having the CEO flip the bird to nay-sayers and triple down is a good sign. That kind of tenacity is what I believe makes him successful, "Screw you, I'm gonna make a Trillion dollars here!"

Disclosure: I have a small TSLA position, but I do consider it a high risk venture that has just as good a chance to buy me a house in 20 years as to go to 0.

I get the sentiment, but what it tells, to me at least, is that it's an impulse-driven CEO and I'd rather stay away from business like that. Might as well go to a casino.

TSLA isn’t the largest short, but have you considered the possibility that it’s a popular short at least in part because of all the negative reports?

What Elon could do to really stick it to the shorts is make the amount of cars he said he will and do so with the profits he claimed he’d have. Otherwise no amount of shares is going to be enoug.

It's at least the biggest short in the US. Or at least it was at the time this article was written back in April.

https://www.cnbc.com/2018/04/11/tesla-is-the-biggest-short-i...

I think Elon's image as a person/CEO is almost as important as his ability to execute and build the cars. Part of the value he brings as CEO is the cult of personality around him. I'm not suggesting that's right or wrong, good or bad investing, good or bad reason to buy products, etc. That's just what I believe is true.

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