Matt Levine continues to write funny takes on Tesla’s stock and Musk:
Eventually, all the boring finance people will sell their stock to fun people, so only the fun people will own the stock, so there’ll be no one left to do this trade. Tesla Inc. is the paradigmatic fun stock: It is run by a cartoony billionaire who sends rockets into space and messes around with flamethrowers, it has a huge and volatile valuation that often seems disconnected from its financial results, it is beloved by message-board day-traders. It is also regularly one of the most shorted stocks in the market. One way to interpret that is that people who care about valuation sold all their stock to people who love fun, and then had to go and borrow more stock to sell to the fun people because the demand for fun was so insatiable.