Tesla stock price has been up and down wildly. The background is the "Apple" like reputation and product V.S. the short seller looking at the financial situation of the company.
Hedge fund manager David Einhorn compared Tesla to Lehman Brothers, where he had flagged accounting problems several months before its 2008 collapse. ALthough as a matter of fact, his Greenlight Capital is having a difficult year, with its main fund down 25.7 percent through September.
Citron Research, one of the most famous and successful short seller in the market, had bet against Tesla stock for years. They changed their position for short to long, arguing that Tesla is destroying the competition.
"While the media has been focused on Elon Musk's eccentric, outlandish and at times offensive behavior, it has failed to notice the legitimate disruption of the auto industry that is currently being dominated by Tesla," Citron wrote.
The news of Citron's change of view pushed TSLA from around $260 per share to around $297 per share.
Now the question is will Tesla beat the market expectation on earning report.
Tags: TSLA Tesla earning report