Tesla's recent price advances mean a lot more to my eye than anything I've seen either publicly reported or posted on the MFTesla board.
You may recall that soon after the spate of high speed collision fires, a handful of law firms announced in November and December class action lawsuits against Tesla, claiming essentially that investors who got on board between May and November suffered losses in stock value that were avoidable by Tesla; it should have built the Model S safer, should have warned prospective investors of the risk to their share value inherent in the vehicle that can catch fire, blah, blah....
BUT, most members of the defined class bought their shares for less than current price, and the number of persons who bought at more than today's price is shrinking with every price increment. In other words the damages to be sought are dropping like sand through an hourglass. And along with it goes the will of the class plaintiffs to chase very little or nothing, not to mention the will of the law firms to chase - what?
None of this suggests for a moment that any of the lawsuits had any hope of success on the merits of the liability issue from the get-go. But even successfully defended lawsuits are
expensive to defend. Even larger is the bad PR and worry by potential investors about possible (in their minds) outcomes.
From the beginning I thought the only real justifiable class - sought remedy would be based on the horrifically twisted "reporting" of the fires by the short sellers. Not without blame, though, are the very investors themselves who sold on the warped headlines without any pause for analysis. If they chose to crystallize a loss in an ignorant panic, only they and the
tabloids-on-steroids are to blame.
For this reason more than any other I look forward to the continued rise of Tesla's stockrocket.
(I am overweight Tesla in my portfolio, and a Roadster owner since 2010 )