What are you going to sell at once the squeeze happens?

[Buckminster]

Background:
Shall TSLA be added to S&P500? (out of main)

Assuming a squeeze were to happen by November 2020:

You must vote to view. No changes. Private vote. Poll closes by P&D.

 

[Christine69420]

Voted 5000+ since you did not include a "not happening" option.

I'm long TSLA so selling this year won't happen.

 

[StarFoxisDown!]

I put 3500-4000, but it would only be a certain % of my shares. I've always had a plan of selling in tranches when the stock price hit around 3,500, maybe like only 10-15% of my shares and then another 10% when it hit 4500, another 15% at 5,000, etc.........but that target is a moving target which depends on how well Tesla is executing. If they're executing exceptionally well I would be less inclined to sell any % of shares

 

[LN1_Casey]

I put max, but I'm actually a bit of a conundrum as I'm selling purely to buy my Tesla in October. As such, the higher the SP is, the less of them I'll sell!

 

[obie_fl]

I also voted $5K plus. Now I will put some call options in to play and sell puts from time to time for leverage. There is a very good chance I will not sell my core shares during my lifetime and pass them on, I'm 63. I will entertain selling some at $10K but only a fraction of them.
Life does have a way of throwing you curve balls so I do reserve the right to make changes to the above.

 

[lafrisbee]

Sell for a given price. Nope. I think I voted for the $4000/share. Yet I am in the crowd of my sell price being a moving target. And I have even adjusted my strategy from when I initially purchased TSLA. I bought $70k so I could have enough to buy a Cyber Utility Vehicle when it comes my time (And I positioned myself to be in the beginning of the third year of production so as to skippy the buggy phase, and also the constant harassment by the public interested in my vehicle.). That time will be about 3 more years away? So $4000k/share sounds about right...though if the stock is still motoring along I'll probably finance the Vehicle, and sell shares as the monthly payments are due.

 

[heltok]

I intend to sell 25% every time the price doubles. So I will reach 1-e^-1=63% at $16000.

 

[johnm6875]

I set a few shares aside to help with the purchase of a Cybertruck. If the after tax return pays for the truck in full by November, OK I'll sell. Or, at least set that price as a new "floor."

 

[mongo]

Not selling 63% of shares, since most are in long term retirement accounts.

My calls are a different story, however. I'm terrible at timing those.

 

[adiggs]

I chose $4000. I don't actually know that I'd sell at that point, but the money would be enough at that point for a comfortable retirement and that's hard to argue with.

Of course, then I'd have the problem of what to invest that retirement money into that I'm not actually paying bills with, and I consider all other investments than TSLA to be a step down in investment quality, so maybe I just retire but keep the stock.

/first world problems

 

[MP3Mike]

Where did the 63% of stock number come from? I will sell a little on the way up, but nowhere near 63% by November..

 

[mongo]

Where did the 63% of stock number come from? I will sell a little on the way up, but nowhere near 63% by November..

I believe it's the estimated percentage of the float needed to be purchased due to S&P 500 index fund inclusion + covering of short positions (if they give up).

 

[heltok]

Where did the 63% of stock number come from? I will sell a little on the way up, but nowhere near 63% by November..

1-e^-1
Why is the time constant 63.2% and not 50% or 70%?

 

[Johann Koeber]

I remember the VW squeeze. Did not last very long.

Tesla is in a different situation. But if a squeeze does happen, I consider it prudent to lighten my exposure on the way up. What goes up must come down - as the old saying goes. If it goes up too fast, it will drop some.

Probably I would start by trading my long LEAPS for shares. Then if it drops - trade back to LEAPS.

Of course later TSLA will rise more. Actually I can totally see $25,000 in 10 years. But not in 10 months.

Certainly no advice.

 

[Todd Burch]

A squeeze was once possible.

Unfortunately, with the percentage of shares sold short I just don’t think it will happen anymore. (Bummer, I’ve been holding TSLA for almost 8 years waiting for it).

 

[FrankSG]

Wouldn't sell any stock pre $5,000. Probably not even pre $10,000.

However, I'd sell some options well before $5,000, but I'd immediately buy shares and/or sell covered PUTs with the proceeds.

 

[Duffer]

I said $5000 for the same reason as @Christine600 you do not have a "never" option available.

I'm just a boring accumulate and hold investor. Have I "left money on the table" by not utilizing some of the strategies (LEAPS etc.) that others have? Sure. But I'm comfortable. Granted, not buying my own island and walling it off comfortable like some here on the board. But comfortable nonetheless.

 

[CaptainKirk]

I already have a hefty tax bill from my options gains this year, so I won't be selling at all. I have a job that pays the bills, already got my Tesla Model 3, and this is all icing on the cake.