Tencent buys 5% of Tesla
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Tencent buys 5% of Tesla
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Re: Tencent buys 5% of Tesla
#2Tesla shorts can't get a break. First a smooth $1B+ capital raise without a stock hiccup and now this.
Re: Tencent buys 5% of Tesla
#3> Tencent is a prolific investor. It holds equity in Snap, this year’s hot tech IPO, among others following an early investment. While that interest in messaging makes sense since Tencent’s operates China’s dominant chat app — WeChat — it isn’t immediately clear whether the Tesla investment has strategic undertones.
This was my immediate question as well. Is this purely an investment for its portfolio or is there a strategic element as well? I imagine being able to send/receive messags on WeChat as the beginning of something more.
Re: Tencent buys 5% of Tesla
#4[deleted]
Re: Tencent buys 5% of Tesla
#5Tesla shorts can't get a break. First a smooth $1B+ capital raise without a stock hiccup and now this.
Every budding short seller needs to, at some point in their career, learn the lesson of never shorting a growth tech stock.
Re: Tencent buys 5% of Tesla
#6Smart move. Tencent's investing but not controlling strategy make it good supporter of the new generation of ambitious entrepreneurs against AAAAF(Apple Alphabet Amazon Alibaba Facebook):
- JD
- Didi
- Snap
- Meituan-Dianping
……
Re: Tencent buys 5% of Tesla
#7Tesla shorts can't get a break. First a smooth $1B+ capital raise without a stock hiccup and now this.
The raise will dilute earnings for common shareholders, so definitely a downward force on stock price. That being said, this investment and the recent raise you alluded to should clobber the put skew.
http://www.volcube.com/resources/options-articles/what-is-op...
Re: Tencent buys 5% of Tesla
#8> Tencent is a prolific investor. It holds equity in Snap, this year’s hot tech IPO, among others following an early investment. While that interest in messaging makes sense since Tencent’s operates China’s dominant chat app — WeChat — it isn’t immediately clear whether the Tesla investment has strategic undertones. This was my immediate question as well. Is this purely an investment for its portfolio or is there a s…
Having access to the internals at Tesla is interesting and potentially powerful -- significant ownership share brings many benefits that are by no means small. Albeit on a need-to-know basis and through a peephole, it is nonetheless advantageous.
It may cost $1.7B but it guarantees continued access, whereas throwing technical exfiltration (ie: hacking) and manual exfiltration (ie: mole in Tesla staff) whose resources are limited and unpredictable.
It's also a good financial investment.
Re: Tencent buys 5% of Tesla
#9Tesla shorts can't get a break. First a smooth $1B+ capital raise without a stock hiccup and now this.
Is anyone actually short Tesla to a significant degree? I can understand the normal hedging positions and daily trading, but shorting a stock with so much positive sentiment is folly...
Re: Tencent buys 5% of Tesla
#10Tesla shorts can't get a break. First a smooth $1B+ capital raise without a stock hiccup and now this.
The raise will dilute earnings for common shareholders, so definitely a downward force on stock price. That being said, this investment and the recent raise you alluded to should clobber the put skew. http://www.volcube.com/resources/options-articles/what-is-op...
One of life's little mysteries is that you almost always lose money if you invest internationally. A friend of mine says it is because the locals know what is going on better than you do.
Tencent was a major investor in Magic Leap and the Saudi Sovereign Fund invested heavily in .coms in early 2000. It is definitely not a sell signal, but I would not buy what Tencent is buying.