Tesla Gets Riskier
Feb. 14, 2014 | 12:24 p.m. EST
But I would note that the stock has had a monster run, and before anyone puts too much into Tesla, you should check out what Audi is doing with synthetic fuel.
Audi's initiative is more efficient than gasoline, has a zero-carbon footprint -- that is, it consumes as much in production as it emits in combustion -- and is produced from microorganisms (which can be reproduced and grown in any quantity).
It could be distributed by existing filling stations all over the country, and it could be used to power small generators on cars to produce their own electricity for their electric motors.
No new infrastructure; no additional pollution creating the electricity to power all those pure electrics, smaller battery packs (which are themselves quite dangerous to the environment), etc.
Tesla's shares are now risky as an investment or trade.
Feb. 18, 2014 | 8:26 a.m. EST
I have taken a small short position in Tesla at $205 in premarket trading.
This goes directly against one of my short selling tenets -- namely, shorting high interest stocks (short interest is 29 million shares against about an 84 million share float).
On Friday I wrote a quick blurb on Tesla.
As of Friday's close, Tesla's market cap is almost $24 billion, and in my view, the discussions between Apple (AAPL) and Tesla were likely centered more around joint ventures than an acquisition.