The electric-vehicle manufacturer’s stock gained 233 per cent this year, increases that have forced some traders to close their short positions to avoid further losses. Nikola, a Tesla competitor, is having a similar effect, said research firm S3 Partners. (Bloomberg)
Talking point: Short sellers dropping their positions helps boost Tesla’s stock price, and its trading volumes could increase even further if it’s added to the S&P 500 Index, as some analysts predict it soon will be. If the company maintains its current valuation for two more weeks, CEO Elon Musk is due to receive an options package worth US$1.8 billion; his awards last year already made him the best-compensated public-company boss in the U.S. in 2019, per Bloomberg. Runner-up Tim Cook of Apple made less than a quarter as much. Tesla’s stock was up more than 10 per cent in late Friday trading.