What Influence Will Tesla's Inclusion in the S&P 500 Bring?
Shares of Tesla will join the S&P 500 on Dec. 21, the biggest-ever single-stock addition to the index, and that is when funds indexed to the S&P essentially start buying. That makes this week a big deal for the stock—for two reasons.
For starters, this is the final week traders have to position themselves ahead of index buying. That might drive higher-than-average volatility.
Second, Friday’s closing price will set the weighting of $Tesla (TSLA.US)$ in the Index, because the S&P 500 is weighted by market capitalization—with adjustments for the shares available for trading. About 760 of Tesla’s roughly 950 million shares are available to trade, which may cause a large amount of rebalance trading going on.
Analysts reckon that the stock bubble burst as soon as Tesla joins the S&P 500. However, options markets imply Tesla stock will move about 22% up or down between now and mid-January. In addition, many investors believe it's a huge opportunity for EV market.
What do you think the inclusion will bring to the market? How will you play this big market event? Join the topic on $Tesla (TSLA.US)$ to share your views and win the points!
We will select several valued sharings to give 200 points each!
Note: The valid way to participate is to post/join the Tesla S&P inclusion topic page, instead of reply to thread.
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熊志刚的账户 : Rise
Ilona : On the one hand, I thought Tesla would skyrocket, and on the other hand, I thought it was a beautiful bubble...
treydongui : $Tesla (TSLA.US)$ and the entire EV market both are set for nice growth. The added exposure and credibility that come along with the inclusion will also support my thesis of profitable entry into S&P.
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70221802 : $Tesla (TSLA.US)$ is definitely showing growth within the company and has the potential future for solid financial results on the market.
搞经济 抄底 加仓 : Good for S&P.. $Tesla (TSLA.US)$ will take them a ride they have never felt before. Just like how it took Nasdaq ^
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treydongui Popular on moomoo OP : haha I see. damn