Well-known financier, founder of the SCION Capital Hedge Foundation Michael Byery reported a large bet against Tesla. The predicted collapse of the US economy Investor acquired “bearish” options for Ilona Mask shares in the amount of more than half a billion dollars, writes Bloomberg.
The famous investor, one of the first who received a profit from the Crisis of Mortgage Lending to the United States, acquired “bearish” Put options for more than 800 thousand shares of Tesla March 31, 2021. Investors receive profits from such options when securities fall in price.
According to the declaration filed by Scion to the Securities and Exchange Commission Commission (US Securities Exchange Commission (SEC)), by the end of the first quarter, the SCION Hedge Foundation owned the TESLa options by $ 534 million.
“From the end of the first quarter, Tesla shares fell by 14 percent, and the options were profitable, but it is impossible to say probably,” said the chief strategist Interactive Brokers, Steve Skina, noting that their yield depends on additional factors.
Beurry puts against Tesla for the first time. The company’s share per pandemic demonstrated an increase of 700 percent, reaching an absolute peak at $ 883.09 per share on January 26, 2021. Shortly before that, Byurry even advised the head of Tesla Ilona Mask to sell part of the company’s shares to attract additional capital. The hedge fund manager believed that Tesla shares are located on the “transcendent” level.
Tesla shows an excellent production result even in coronavirus. She improved the production of electrocars against the sectoral shortage of microcircuits and earned a record profit of $ 438 million in the first quarter of 2021, 27 times more than a similar quarter a year earlier.