Tesla Short Sellers’ Losses Mount to $4.2 Billion as Stock Surges After Q3 Results

Short sellers have lost billions as a result of Tesla‘s post-earnings price rise. According to data from S3 Partners, short sellers of Tesla lost $4.2 billion in the two days after the EV manufacturer’s third-quarter reporting last Wednesday.

Monday saw Tesla shares rise almost 1% before reversing course and closing the day down 2.5%. Short sellers have already paid a high price for their bets against the Elon Musk-led company on many occasions this year. More than $5 billion was lost by short sellers in the week after Tesla’s fiscal first-quarter results announcement in April, which was better than anticipated.

Tesla Shares Drop After Missed Robotaxi Hype but Rebound on Strong EPS and Margins

Over the previous month, Tesla’s stock has fluctuated in value. When the automaker issued a recall, withdrew a cheaper model, and missed Wall Street projections on its third-quarter deliveries, shares fell in early October. Following that, the stock increased in expectation of the introduction of Tesla’s robotaxi, but it fell precipitously when the event did not live up to the excitement.

Even if the third quarter’s results were mixed, Tesla’s most recent rise occurred last week. Despite exceeding Wall Street’s projections for adjusted earnings per share and gross margin, Tesla’s quarterly revenue of $25.18 billion fell short of the $25.4 billion that Bloomberg consensus estimates predicted.

For more up-to-date crypto news, you can follow Crypto Data Space.