TSLA Investor Discussions

[tander]

Or maybe it's just TSLA's random volatility!

 

[LST]

JP is at it again... he sees TM go bankrupt any time soon....

Knight Capital Group: An Object Lesson In Emergency Financing - Seeking Alpha

i'm happy to have gotten some more on august 3rd ; ))

 

[Citizen-T]

Don't get greedy guys. If you are completely out of cash and have shares you bought at $26 last week, pat yourself on the back and raise some cash. Either that or don't complain that you can't buy any more shares the next time we are down big.

This is the hard part, the selling on the way up.

As per usual, I'm not talking to you long-term investors.

EDIT:
For context TSLA was trading at $30.85 at the time of writing.

 

[tander]

Still no idea why to swing. Reservations are up by about 3% in the last two weeks though.

 

[bmek]

Don't get greedy guys. If you are completely out of cash and have shares you bought at $26 last week, pat yourself on the back and raise some cash. Either that or don't complain that you can't buy any more shares the next time we are down big.

This is the hard part, the selling on the way up.

As per usual, I'm not talking to you long-term investors.

EDIT:
For context TSLA was trading at $30.85 at the time of writing.

+1

If you want to make a little more return and get a higher price, consider selling some August $32 covered calls for ~$0.50 per share. If the options expire in-the-money then this would give you $32.50 per share on August 17. If the stock drops or stays flat then you get the $0.50 per share. Always nice to lock in on profits ...

TSLA trading at $30.18 at the time of writing.

 

[Lloyd]

Where is Califlower? He should be singing TSLA praises today!

 

[mnx]

Where is Califlower? He should be singing TSLA praises today!

Yeah his one-sidedness is surely a mystery!

Sold half my Aug 28$ calls today for 2.95 (paid 1.40$ for them). I probably would have sold some covered calls here as well, but the average price on my stock is bad...

 

[ckessel]

Don't get greedy guys. If you are completely out of cash and have shares you bought at $26 last week, pat yourself on the back and raise some cash. Either that or don't complain that you can't buy any more shares the next time we are down big.

A portion of my shares are at $30 (the portion farthest from any hope of the 1-year capital gains rate), so it'll have to hit something near $35 to make it seem like it's worth selling it for short term profit.

 

[Citizen-T]

A portion of my shares are at $30 (the portion farthest from any hope of the 1-year capital gains rate), so it'll have to hit something near $35 to make it seem like it's worth selling it for short term profit.

I did say "and have shares you bought at $26 last week". Make sure you sell the right shares, don't fear the tax man, forgoing a good trade just because you don't want to pay the extra tax on it is usually not a good decision making process. Definitely include it in your process, but a reversal in the price of the stock will do a whole lot more damage to you than paying regular income rates on your profits. And you won't have any cash to take advantage of the new lower prices.

 

[ckessel]

I did say "and have shares you bought at $26 last week". Make sure you sell the right shares, don't fear the tax man, forgoing a good trade just because you don't want to pay the extra tax on it is usually not a good decision making process. Definitely include it in your process, but a reversal in the price of the stock will do a whole lot more damage to you than paying regular income rates on your profits. And you won't have any cash to take advantage of the new lower prices.

Right, but it's not just the tax man, it's also the cost of the risk of selling when it doesn't drop back down. It's easier to sell on the way up when you bought at the bottom of a trough. It's less obvious to me when you bought part way down and it's now part way up. In the scheme of things, it was at $40 at one point and I bought at $30 which was a price I felt pretty good about at the time.

There's a nebulous sell point that accounts for tax rates and further gain/loss risks. I don't, for example, see much point in selling at $30.01 just because it's a .01 profit. Unless I was somehow convinced the stock was going to drop much lower.

Make sure you sell the right shares

Not sure what this means. Shares aren't tagged in any way are they? If I sold 50 shares today, on my taxes it's my choice to designate which purchase they were related to, right?

 

[Johan]

I did say "and have shares you bought at $26 last week". Make sure you sell the right shares, don't fear the tax man, forgoing a good trade just because you don't want to pay the extra tax on it is usually not a good decision making process. Definitely include it in your process, but a reversal in the price of the stock will do a whole lot more damage to you than paying regular income rates on your profits. And you won't have any cash to take advantage of the new lower prices.

I've learnt from previous experiences with the stock (didn't sell any at $36) so now seold 50% of my stock at 30.50 for some nice profits ($3.50 per share). Already it's turned and is now below 30. Whenever the stock rallies like that in the first hour of trading ON NO NEWS and goes up more than 6-7% I think it's safe to say that taking profit is the thing to do for those of you trading, or like me have a portion of your holdings for trading and a "core" long position.

Helps when trading short-term that in Norway capital gains tax is 28% regardless of short or long term.


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[tander]

I've learnt from previous experiences with the stock (didn't sell any at $36) so now seold 50% of my stock at 30.50 for some nice profits ($3.50 per share). Already it's turned and is now below 30. Whenever the stock rallies like that in the first hour of trading ON NO NEWS and goes up more than 6-7% I think it's safe to say that taking profit is the thing to do for those of you trading, or like me have a portion of your holdings for trading and a "core" long position.

Helps when trading short-term that in Norway capital gains tax is 28% regardless of short or long term.


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Yet another reason I may have to move to Norway, I'm like 1/8 Norwegian anyway heh.

 

[Johan]

Yet another reason I may have to move to Norway, I'm like 1/8 Norwegian anyway heh.

You'd be very welcome!
I'm 100% swedish but have lived here the last 6 years. Great country!

 

[ahimberg]

I did say "and have shares you bought at $26 last week". Make sure you sell the right shares, don't fear the tax man, forgoing a good trade just because you don't want to pay the extra tax on it is usually not a good decision making process. Definitely include it in your process, but a reversal in the price of the stock will do a whole lot more damage to you than paying regular income rates on your profits. And you won't have any cash to take advantage of the new lower prices.

What are 'the right shares' here? If you bought at 26 and 30, are you selling the 30s to have cash on hand but no tax, or the 26s to minimize their future tax? Due to a different stock I have that purchases quarterly - I try to never let that one get negative so I can avoid wash sale rules when the next set buys, I've yet to sell TSLA when I had multiple lots though (but am in that situation now with some at 27,28,30,31)

 

[tander]

You'd be very welcome!
I'm 100% swedish but have lived here the last 6 years. Great country!

Why wouldn't you stay in Sweden, aren't the women prettier there? :smile:

 

[Incredulocious]

Not sure what this means. Shares aren't tagged in any way are they? If I sold 50 shares today, on my taxes it's my choice to designate which purchase they were related to, right?

Things are a little different these days with the IRS rules changes for reporting cost basis:

What You Need to Know for the 2011 Tax Season
Closing lot information must be provided by settlement date.

Effective January 1, 2011, once a specific tax lot has been sold, Federal tax regulations prohibit the firm or the customer from changing that selection after the settlement date.
Although the taxpayer has always been required to make a specific tax lot election on or before the trade date, Federal tax regulations now mandate enforcement of this very specific settlement date deadline so cost basis information reported by the firm on a Form 1099-B for a covered security can be matched to the cost basis information reported by taxpayers on their Federal income tax returns.

 

[Incredulocious]

Things are a little different these days with the IRS rules changes for reporting cost basis.

And what I've done these days to avoid messing around with adjusting the cost basis reporting is sometimes buy additional shares using a different brokerage account. As it happens, I did just that with TSLA last week when I bought more – in case I wish to sell this newer batch of shares in the short term. My accounts are all set to the default first-in first-out for cost basis reporting.

 

[ckessel]

Things are a little different these days with the IRS rules changes for reporting cost basis:

Ok, I haven't sold anything since things changed. When I go to sell at this point, will Ameritrade ask me which purchase it was related to?

 

[Discoducky]

This news is moving the stock today I believe

A $43 Billion Tesla: Musk's Incentives Of Interest - Seeking Alpha

 

[Johan]

This news is moving the stock today I believe

A $43 Billion Tesla: Musk's Incentives Of Interest - Seeking Alpha

Very ambitious options programme! Musk is confident!

Newbie question: these 5% of Tesla's share (some 5 million shares) that he will be eligable to buy over 10 years, where will they come from? Newly issued? Bought on the open market?


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