TSLA - Tesla Motors

[arcube]

Just tell me how many US listed billion dollar companies doing an equity capital raise go down the ATM route........it’s unusual....and you ultimately have to ask why and the obvious answer is institutional money wouldn't touch it at this price or the discount to market close required  to get it done would be too great such that it would scare the horses. No?

 

At-the-Market (ATM) offerings quickened their pace in Q1, setting the stage for strong 2020 results if investor appetite holds, according to data from Bloomberg Law’s Deal Analytics tool.

 

During these turbulent and challenging economic times, current public companies are increasingly likely to turn to follow-on offerings to meet their capital needs. ATM offerings, a type of follow-on offering where a publicly listed company sells newly issued shares at prices determined by the trading market, are a particularly good mechanism for companies to manage volatility risk, allowing them considerable control over the timing and number of shares sold to the public.

 

Companies completed 79 ATMs during the first quarter, raising $10.1 billion. Those figures put these offerings well ahead of the pace set in 2019 for both deal count and value. Last year saw 266 ATM offerings, raising just over $31 billion. Those 2019 results were the best year for ATMs in the last decade.

 

The three largest ATM offerings in first quarter 2020 were Healthpeak Properties Inc. ($1.25 billion), Atmos Energy Corp ($1 billion), and Alexandria Real Estate Equities Inc ($800 million). There were 27 offerings of at least $100 million and seven of those raised $500 million or more.

 

Industry sectors utilizing ATM offerings during the quarter were: consumer, non-cyclical (44 offerings, $1.9B raised), financial (15 offerings, $5.8B raised), energy (5 offerings, $722M raised), industrial (5 offerings, $133.2M raised), utilities (3 offerings, $1.2B raised), technology (3 offerings, $110M raised), basic materials (2 offerings, $115M raised), and consumer, cyclical (2 offerings, $43.49M raised).

 

If you’re reading this on the Bloomberg Terminal, please run BLAW OUT <GO> in order to access the hyperlinked content.

 

https://news.bloomberglaw.com/bloomberg-law-analysis/analysis-at-the-market-offerings-trend-upward-in-q1-2020

 

[Liberty]

I see the sarcasm, but retail is quickly approaching 25% of total trading volume. It's nothing to sneeze at and can definitely move names, particularly with the option volume being traded in some of these names and the associated delta hedging adding to the moves.

 

What % of retail is Robinhood?

 

And what's the source for these numbers and what do they consider "retail"? Thanks

[changegonnacome]

Just tell me how many US listed billion dollar companies doing an equity capital raise go down the ATM route........it’s unusual....and you ultimately have to ask why and the obvious answer is institutional money wouldn't touch it at this price or the discount to market close required  to get it done would be too great such that it would scare the horses. No?

 

At-the-Market (ATM) offerings quickened their pace in Q1, setting the stage for strong 2020 results if investor appetite holds, according to data from Bloomberg Law’s Deal Analytics tool.

 

During these turbulent and challenging economic times, current public companies are increasingly likely to turn to follow-on offerings to meet their capital needs. ATM offerings, a type of follow-on offering where a publicly listed company sells newly issued shares at prices determined by the trading market, are a particularly good mechanism for companies to manage volatility risk, allowing them considerable control over the timing and number of shares sold to the public.

 

Companies completed 79 ATMs during the first quarter, raising $10.1 billion. Those figures put these offerings well ahead of the pace set in 2019 for both deal count and value. Last year saw 266 ATM offerings, raising just over $31 billion. Those 2019 results were the best year for ATMs in the last decade.

 

The three largest ATM offerings in first quarter 2020 were Healthpeak Properties Inc. ($1.25 billion), Atmos Energy Corp ($1 billion), and Alexandria Real Estate Equities Inc ($800 million). There were 27 offerings of at least $100 million and seven of those raised $500 million or more.

 

Industry sectors utilizing ATM offerings during the quarter were: consumer, non-cyclical (44 offerings, $1.9B raised), financial (15 offerings, $5.8B raised), energy (5 offerings, $722M raised), industrial (5 offerings, $133.2M raised), utilities (3 offerings, $1.2B raised), technology (3 offerings, $110M raised), basic materials (2 offerings, $115M raised), and consumer, cyclical (2 offerings, $43.49M raised).

 

If you’re reading this on the Bloomberg Terminal, please run BLAW OUT <GO> in order to access the hyperlinked content.

 

https://news.bloomberglaw.com/bloomberg-law-analysis/analysis-at-the-market-offerings-trend-upward-in-q1-2020

 

My bad & forgive my ignorance - i read a number of articles that suggested the ATM structure for a company the size of Tesla was  unusual in nature.......appears its not

[arcube]

No S&P inclusion this time.

[TwoCitiesCapital]

No S&P inclusion this time.

 

Shares are down another 7% after hours on the news. This might be the top for them with no more splits and no S&P inclusion to look forward to. Not to mention a retail crowd disillusioned by recent losses from buying @ 15-17x sales and losing 25% in 4 days.

[Spekulatius]

No S&P inclusion this time.

 

Shares are down another 7% after hours on the news. This might be the top for them with no more splits and no S&P inclusion to look forward to. Not to mention a retail crowd disillusioned by recent losses from buying @ 15-17x sales and losing 25% in 4 days.

 

They can always do an reverse split to get the share price up again  ;D

[JRM]

No S&P inclusion this time.

 

Shares are down another 7% after hours on the news. This might be the top for them with no more splits and no S&P inclusion to look forward to. Not to mention a retail crowd disillusioned by recent losses from buying @ 15-17x sales and losing 25% in 4 days.

 

They can always do an reverse split to get the share price up again  ;D

 

Since they called the stock split a 'dividend', I guess a reverse split would be a share buyback.

[Mark Jr.]

Tesla:

• share price up 500% this year
  
• 5-for-1 stock split
  
• $5B ATM equity raise
  
• PE > 10000 (where P = phantasmagorical) 
  
• combined market cap (was) worth more than Ford, GM, Chrysler, Fiat combined
  

 

...and somehow people make the case for it on a value investing board.

 

I think the signs of #PeakTesla are in: Bailie Gifford looking for the exits, directors cashing out their chips, increased regulatory scrutiny over FSD, carbon credits mostly gone next year, and now the S&P500 miss.

 

Thing is, TSLA is the animal spirit of the market now, once it finally cracks, so goes the rest of it.

 

 

[rkbabang]

Big headline today.  "Tesla hits three-week low"!!!!!!!

 

https://www.investing.com/news/stock-market-news/nasdaq-futures-fall-2-as-tech-selloff-resumes-2288537

 

[arcube]

Great opportunity to get in ; )

 

 

Big headline today.  "Tesla hits three-week low"!!!!!!!

 

https://www.investing.com/news/stock-market-news/nasdaq-futures-fall-2-as-tech-selloff-resumes-2288537

[Mark Jr.]

Great interview between Grant Williams and TeslaCharts this week: https://podcasts.apple.com/us/podcast/the-grant-williams-podcast-tc/id1508585135

 

I guess I've been burned enough in the past to think we've hit #PeakTesla but it really feels like there's a shift in timbre recently.

 

The Neuralink "product update" was obscene chicanery.

 

 

 

[arcube]

I will listen to this to get my weekly dose of conspiracy fill. I need it.

 

Will also listen to anything related to Nikola to learn about the cutting edge in technology development. I am all set this week.

 

Great interview between Grant Williams and TeslaCharts this week: https://podcasts.apple.com/us/podcast/the-grant-williams-podcast-tc/id1508585135

 

I guess I've been burned enough in the past to think we've hit #PeakTesla but it really feels like there's a shift in timbre recently.

 

The Neuralink "product update" was obscene chicanery.

 

[Mark Jr.]

I will listen to this to get my weekly dose of conspiracy fill. I need it.

 

Will also listen to anything related to Nikola to learn about the cutting edge in technology development. I am all set this week.

 

 

TeslaCharts TC Chartcast podcast had Nikola founder Trevor Milton on episode #35 in July

 

https://podcasts.apple.com/ca/podcast/episode-35-trevor-milton/id1491394342

 

I haven't listened to this one yet.

[A Dhandho Investor]

Dalal must be glad to see that his taxes are being put to good use: https://seekingalpha.com/article/4373143-tesla-in-buffalo-new-york-extends-pretends-spends-and-bends

 

 

Earlier this year, New York State’s Comptroller delivered a scathing draft audit report to the agency charged with administering Tesla’s RiverBend Agreement.

 

The report blistered that agency, Empire State Development, for failing to conduct any meaningful up-front analysis or in-process administration.

 

The report also noted the suspicious amendments to the deal in which ESD relaxed Tesla’s obligations while getting nothing in return.

 

So, how did ESD react to the audit report? By, in effect, showing the Comptroller that ESD could do an even worse job. Much, much worse.

 

Judged from the perspective of New York State taxpayers, the Eleventh Amendment is the biggest disgrace yet in a long-running saga of failure.

[JRM]

https://www.thedrive.com/tech/36274/tesla-model-y-owners-find-cooling-system-cobbled-together-with-home-depot-grade-fake-wood

[rkbabang]

https://www.thedrive.com/tech/36274/tesla-model-y-owners-find-cooling-system-cobbled-together-with-home-depot-grade-fake-wood

 

Innovative high tech lightweight fastening system.

 

[A Dhandho Investor]

When even the Teslemmings start to doubt Elon the savior: https://electrek.co/2020/09/11/tesla-export-model-3-made-in-china-cars/

 

The thing that concerns me more about this change is that Tesla wasn’t supposed to even be able to export made-in-China Model 3 vehicles because the demand would be so great in China.

 

 

[wescobrk]

I will listen to this to get my weekly dose of conspiracy fill. I need it.

 

Will also listen to anything related to Nikola to learn about the cutting edge in technology development. I am all set this week.

 

 

TeslaCharts TC Chartcast podcast had Nikola founder Trevor Milton on episode #35 in July

 

https://podcasts.apple.com/ca/podcast/episode-35-trevor-milton/id1491394342

 

I haven't listened to this one yet.

 

Thanks for the mention. I'm listening to it now. I made a small position at $31. I'm skeptical of the short report. Everyone knows about the truck not driving (this was reported by the FT in the past) and the other areas in the report aren't a game killer. There is a lot of people/companies that have thrown billions at this company (GM within the past few days). I'm skeptical over time as this is why I'm doing a deeper dive now. My biggest question is how they can drive down the cost to compete with Tesla and others over time.

Regarding the bearish side, I'm not a fan of the CEO, he seems like a marketing guy and not a business person, but that isn't enough to kill the company.

You gotta love Mr Market going from paying to $50 to around $29 (after hours trading) within a few days. 40% sell off was a big reason to take a tiny toe in the water. If nothing else, there could be a short term short squeeze to make an easy 20%.

[Liberty]

When even the Teslemmings start to doubt Elon the savior: https://electrek.co/2020/09/11/tesla-export-model-3-made-in-china-cars/

 

The thing that concerns me more about this change is that Tesla wasn’t supposed to even be able to export made-in-China Model 3 vehicles because the demand would be so great in China.

 

You're still here? Make up your mind.

[A Dhandho Investor]

When even the Teslemmings start to doubt Elon the savior: https://electrek.co/2020/09/11/tesla-export-model-3-made-in-china-cars/

 

The thing that concerns me more about this change is that Tesla wasn’t supposed to even be able to export made-in-China Model 3 vehicles because the demand would be so great in China.

 

You're still here? Make up your mind.

 

Do you consider yourself a Teslemming?

 

Can you put on your smell sensor for once regarding Tesla and agree with me that this smells like NKLA?

https://mansionengineer.com/2019/02/04/elon-musk-tesla-and-the-solar-roof-tile-fraud-update/

https://dailykanban.com/2017/02/03/ca-dmv-report-sheds-new-light-misleading-tesla-autonomous-drive-video/

 

Smells like Theranos

 

Finally!

[Liberty]

When even the Teslemmings start to doubt Elon the savior: https://electrek.co/2020/09/11/tesla-export-model-3-made-in-china-cars/

 

The thing that concerns me more about this change is that Tesla wasn’t supposed to even be able to export made-in-China Model 3 vehicles because the demand would be so great in China.

 

You're still here? Make up your mind.

 

Do you consider yourself a Teslemming?

 

No. Didn't you say you were leaving this thread and not coming back?

 

Can you put on your smell sensor for once regarding Tesla and agree with me that this smells like NKLA?

https://mansionengineer.com/2019/02/04/elon-musk-tesla-and-the-solar-roof-tile-fraud-update/

https://dailykanban.com/2017/02/03/ca-dmv-report-sheds-new-light-misleading-tesla-autonomous-drive-video/

 

Smells like Theranos

 

Finally!

 

Yeah, just the same. A company with nothing but non-functional mockups and renders is just like the company that made all the best-in-class EVs I see driving around my neighborhood every day.

[A Dhandho Investor]

Yeah, just the same. A company with nothing but non-functional mockups and renders is just like the company that made all the best-in-class EVs I see driving around my neighborhood every day.

 

[Wolf of Wall Street style] I'm not leaving  :-* [/Wolf of Wall Street style]

 

It blows my mind that the fact that Tesla is the EV leader seems to give them in your book the right to lie about the solar roof product and autonomous driving.

 

So let's make an analogy. Suppose NKLA was world class leader in hydrogen powered motor scooters. Would you consider the mockups and renders related to the truck to be less fraudulent than you consider them now?

 

 

[JRM]

In the words of Elon himself: "You can drive that fraud."

[jschembs]

Yeah, just the same. A company with nothing but non-functional mockups and renders is just like the company that made all the best-in-class EVs I see driving around my neighborhood every day.

 

[Wolf of Wall Street style] I'm not leaving  :-* [/Wolf of Wall Street style]

 

It blows my mind that the fact that Tesla is the EV leader seems to give them in your book the right to lie about the solar roof product and autonomous driving.

 

So let's make an analogy. Suppose NKLA was world class leader in hydrogen powered motor scooters. Would you consider the mockups and renders related to the truck to be less fraudulent than you consider them now?

 

The world is more nuanced. People think "fraud" means it's a zero, when in reality fraud comes in many shades of gray.

 

Obviously Tesla has made some impressive cars that are very real. Also, Musk has made many claims that are either blatant lies (solar tiles on the Desperate Housewife set to help push through the SolarCity merger) or very aggressive timelines that may or may not ever come to fruition (too many to cite).

 

So at this point it seems unlikely Tesla is a zero, but it does beg the question of whether investors should adjust their expectations of his proclamations based on their probability of either being (a) ever realized or (b) realized on the time horizon he articulates.

[A Dhandho Investor]

The world is more nuanced. People think "fraud" means it's a zero, when in reality fraud comes in many shades of gray.

 

Obviously Tesla has made some impressive cars that are very real. Also, Musk has made many claims that are either blatant lies (solar tiles on the Desperate Housewife set to help push through the SolarCity merger) or very aggressive timelines that may or may not ever come to fruition (too many to cite).

 

So at this point it seems unlikely Tesla is a zero, but it does beg the question of whether investors should adjust their expectations of his proclamations based on their probability of either being (a) ever realized or (b) realized on the time horizon he articulates.

 

You mix the discussion on whether something is fraudulent or not with the investment considerations of said observation.

 

In my world fraud does not come in many shades of grey, statements are either fraudulent or not. So you can say that the statement "funding secured" was a fraudulent statement, that Tesla made fraudulent statements in the context of its solar tile presentation and autonomous driving video, in the context of the Model 3 ramp (check out Wochos vs tesla lawsuit), etc, etc.

 

You can debate hours and hours on the investment considerations of those observations (as proven in this thread), but I'm confident that this stock would not sport its current market cap if Tesla and Elon Musk were 100% truthful. And yes, imo the possibility existed in the past that Tesla was a 0 if they were really truthful towards their investors (but not anymore).

 

The fraudulent statements Tesla has done in the past make me question:

(1) the extent of the fraud (is someone who is willing to lie about the functioning of its products also willing to dress up it's financial statements? imo Tesla has taken this step already years ago

(2) the functioning of its products: yes the cars are nice, but I wouldn't drive one on autopilot without paying attention to the road knowing what I know about the product. I also wouldn't buy one given the paint / service / other issues

(3) every statement / presentation Tesla does (hello battery day - how much of what they will claim will actually be trustworthy)?