Tesla Stock Is Soaring. It's Controversial. And Soon, It Could Be In Your Portfolio

Alexander Hassenstein/Getty ImagesFaith in Tesla's future has long powered Tesla stock, but there's a new wrinkle that could be adding a bit of extra fuel. After it announces results on Wednesday, Tesla is expected to meet every requirement for entering the S&P 500 index.

Investment funds, like retirement accounts, often track indexes like the S&P 500 to invest in the entire stock market instead of trying to pick individual winning stocks. These passive investments, which are cheaper and generally more successful than funds that try to pick winning stocks, are"The purpose is to emulate the market, not to beat it," explains Howard Silverblatt of the S&P Dow Jones Indices.

If Tesla gets added to the index, many, many people would suddenly have Tesla in their investment portfolios. And that buying spree usually pushes a stock price up — slightly, and temporarily.the widespread belief that getting added to the S&P 500 provides a permanent boost in stock value. The answer?

Ever hear of a 'short squeeze?'

Still way overpriced. What will happen to all those dead batteries.

Overvalued. They name is Tesla

BoycottTesla

That is exciting and fun.

Thank God Elon Musk is a Trump supporter... Tesla YouAintBlackbiden

Tesla is coming of age and IS the future of vehicle and energy technology. The reality is more people are actually waking up and becoming aware of this reality.

And since they've been lying this whole time, might as well lie one more time to fool everyone into buying more of their stock.

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‘A Powerful Force’: Tesla’s Momentum Leads Stock-Market SurgeInvestors are favoring shares that have risen sharply in recent weeks like electric auto maker Tesla and vaccine makers, worrying skeptics who think the rally has gone too far. OXFORD is supposed to give a press conference. Will be interesting Yeah this kind of irrational exuberance means stock market crash is imminent! All markets have a cap, Tesla’s cap remains a long way off because they still haven’t explored low-cost vehicles, cycles, ATVs, ultralight aircraft and rail. They may also introduce the first fully-automated 3D printed vehicle within 36mos.
Source: WSJ - 🏆 98. / 63 Read more »