Shares Of Tesla Motors (TSLA) Punished As Insiders Begin Cashing Out

Posted by | # |
01:24:30 pm on December 28, 2010

A few days ago I commented that TSLA was providing an excellent short setup after a big run.  It didn’t take long for shares to hit my profit target as insiders began dumping shares once the lock up period expired Monday.  After such a big run in a highly speculative company, I’d be selling too. 

::: Click Here For Your FREE Daily Tesla Analysis :::

The Street reports there are about 93 million shares of Tesla stock outstanding and 75 million of those shares were locked up until Monday.  While trading volume was nearly 9x greater on the sell off yesterday and insiders clearly took profits it certainly wasn’t a mass exodus.  However, expect a significant overhang in the stock in the coming months due to insider selling pressure and general uncertainty about its ability to be a major player in the electric car market. 

Tags: ,
 
If you enjoyed this post, please consider to leave a comment or subscribe to the feed and get future articles delivered to your feed reader.

Comments  

No comments yet.

Leave a comment

(required)

(required)


*