Popular investor Michael Burry, is adding to his list of stocks he will short and Tesla just made the list.
Tesla short sellers have consistently been caught on the wrong end of the spectrum betting against Tesla, which rose above $2,000 before the stock split.
Burry is known from “The Big Short” film, which featured 4 investors who profited from shorting the stock market during the 2008 financial crisis. In December 2020, Burry announced he was shorting Tesla.
“So, @elonmusk, yes, I’m short $TSLA, but some free advice for a good guy … Seriously, issue 25-50% of your shares at the current ridiculous price. That’s not dilution,” Burry tweeted.
He continued: “You’d be cementing permanence and untold optionality. If there are buyers, sell that #TeslaSouffle.”
Tesla has risen to a market cap higher than automakers Toyota, Volkswagen…and even Facebook. However, Tesla’s profits are nowhere near the value of other automakers.
Now in recent news, thanks to Joe Biden’s success in the US presidential the EV market gained a lot of bullish sentiment. As a result Tesla’s stock price soared to new highs, and Elon Musk passed Jeff Bezos as the richest man in the world.
In the year-to-date the stock has risen more than $100, but has since then corrected.
“Well, my last Big Short got bigger and bigger and BIGGER too,” Burry said Thursday in a now-deleted tweet. “Enjoy it while it lasts.”