Tesla Sees $190M Short Call Positions Even as Stock Soars After Deliveries Beat
$Tesla (TSLA.US)$ attracted almost $190 million in short call positions at a time when the stock is soaring to its highest level since January.
Shares of the electric vehicle maker jumped 9% to $228.83 Tuesday after Tesla reported second quarter deliveries that beat analysts' estimates. Wedbush analyst Daniel Ives said the results represented "a huge comeback performance" for the company that's widely expected to miss expectations, Wall Street Journal reported.
At 2:16 p.m. in New York Tuesday, two short call positions were posted, the biggest of them involved the contract that gives the holder the right to buy 3.2 million Tesla shares at $195 each by Aug. 16. The seller stands to collect $124.96 million for writing those 32,000 call options. Each contract covers 100 shares.
The other block trade posted at that exact time gives the holder the right to sell 3.2 million Tesla shares at $225 also by Aug. 16. The seller stands to collect a premium of $64.8 million for that trade.
Financial giants are taking short positions on Tesla just as the electric vehicle maker is trying to play catch up to its Magnificent Seven peers. Even after Tuesday's rally, the stock is still down almost 8% this year. By comparison, $NVIDIA (NVDA.US)$ skyrocketed 148%, while $Meta Platforms (META.US)$ soared 44% over the same period. $Alphabet-A (GOOGL.US)$ surged 32%, $Amazon (AMZN.US)$ jumped 31.7%, $Microsoft (MSFT.US)$ advanced 22% and $Apple (AAPL.US)$ rallied 14%.
Fund inflows into Tesla outpaced outflows by more than $214 million Tuesday, setting the EV maker on pace for its first monthly net inflow since December, capital trend data compiled by moomoo showed.
Tesla delivered 443,956 vehicles in second quarter, the company said in a press release Tuesday morning. While that's down from the 466,140 delivered in the period last year, the figure was better than 439,302 units expected by analysts, according to estimates compiled by Bloomberg.
Still, it's unclear how long the Tesla rally will last. Twelve of 15 technical indicators tracked by moomoo are flagging early warning signals that the stock could be overbought, and the trend may turn bearish. Only the moving average looks positive, while the remaining two, the Bollinger band, and the moving average converge-divergence indicators are neutral.
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