This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Long-Term Tesla Bulls See More Pain Ahead:

Stocks in this article: TSLA SCTY

NEW YORK (TheStreet) -- Long-term Tesla  (TSLA) investors have endured a rough ride this month. The best performing stock of 2013, got taken down a peg in April, falling more than 14% in the past thirty days. And a majority of investors on -- even those who profess to love the electric car company --are betting shares will continue to reverse over the next few months.

$TSLA don't hate me Elon, cause I love you.... target 180 remains.. developing - Old Turkey (@Partridge) Apr. 15 at 11:36 AM

Bearish sentiment on the stock is 52%, according to StockTwits' analytics. Short interest is at nearly 29% of float, according to data on

It's not quite clear how the tide turned against Tesla. Back when Elon Musk was releasing Gigafactory slides, investors couldn't get enough of electric cars and lithium batteries. Tesla, judging by the comments on the StockTwits stream, was destined to disrupt the entire energy industry -- let alone the global vehicle industry. Soon everyone would have a Tesla battery in their garage, regardless of whether they owned an electric car. How else would they store the power from the SolarCity (SCTY) solar panels on their roofs?

$TSLA When are earnings? Elon is the new steve jobs.... Hard to place a value on a company that changes the way you live. Tbink iPod. - Peter (@Poloace) Apr. 15 at 11:25 AM

But with the future of the five-year bull market in doubt, investors are getting more realistic about the valuation Tesla can support in the near term. And they doubt that investors are willing to stomach a price to forward 2015 earnings ratio of nearly 52 as risk appetites shrink.

$TSLA At this falling rate, any put strike will work. Just close your eyes and cast a stone. - Light trader (@lighttrader) Apr. 15 at 11:02 AM

That said, most investors still think Elon Musk is destined to deliver on his vision of green cars and solar-powered homes. Tesla, they say, will eventually deserve its $24.87 billion market cap -- and then some. Some investors believe that, by June, risk appetites will return and Tesla will, once again, be off to the races.

$TSLA I'm buying Jun calls each support it breaks. This one is going to roar when the market stabilises. - Rish (@androsForm) Apr. 15 at 11:07 AM

At the time of publication the author held no positions in any of the stocks mentioned.

This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.


Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs