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Tesla Up 20% This Month: What Does Short Seller Citron Think Now?

Loading the player… With Tesla Motors ( TSLA ) now trading at its highest levels this year, Citron Research’s short position in the electric-car maker’s stock has not been successful so far. Citron said on March 1 that Tesla had “supply AND demand problems,” which “should take down” the stock to 100 by the end of the year. Shares are currently trading around 235. Shares reversed fractionally higher in light turnover on Tuesday, building on its seven straight daily gains. Citron sent out its tweet one session after the stock hit resistance at its 50-day line. But Tesla was able to retake that level soon after and recently recaptured the 200-day line too. The stock has risen about 23% since the Citron tweet. Other Citron shorts, including GoPro ( GPRO ), Ambarella ( AMBA ) and Mobileye ( MBLY ), have not fared as well. GoPro is trading 80% below its 52-week high, while Ambarella is 68% below its 52-week peak. Mobileye is about 44% below its high reached last August. Tesla Unveiling Model 3 Soon Tesla shares could be getting a boost from the upcoming launch of its mass-market Model 3, which will be unveiled next Thursday. But with gas prices still at very low levels and Tesla struggling to ramp up production, some remain skeptical. Many of the top automakers are rushing out their own EVs. Tesla’s $35,000 car is set to compete with mainstream car brand offerings, most notably the Chevy Bolt from General Motors ( GM ). Tesla has made its mark in the luxury electric car space and has been a leader in implementing autonomous driving features with its Autopilot software. Other notable companies working on self-driving cars include Alphabet ( GOOGL )-owned Google and China’s Baidu ( BIDU ). Even Apple ( AAPL ) is reportedly doing work on its own car, dubbed “Project Titan.” Alphabet, Baidu and Apple shares were up a fraction Tuesday, while General Motors edged down.

Microsoft, Apple, Alphabet Stand Strong As Technology Kings Of Cash

If cash is king, then Microsoft ( MSFT ) gets the crown among companies in the S&P 500, ending last year with $102.6 billion in cash and short-term equivalent on its balance sheet. But Apple ( AAPL ) leads when including long-term cash equivalents, holding a whopping $215.7 billion at year’s end, according to an analysis from FactSet Research. Long-term equivalents are investments that take more than one year to turn into cash. Following Microsoft in terms of cash and short-term equivalents is Google-parent  Alphabet ( GOOGL ) at $73 billion. Next come  General Electric ( GE ) at $70.5 billion, Cisco Systems ( CSCO ) at $60.4 billion, and Oracle ( ORCL ) at $52.3 billion. The information technology sector had the largest cash balance among the S&P 500’s 10 sectors, with $580.2 billion at the end of Q4, FactSet said. That’s been the norm over the past 10 years, it said. The tech sector’s holding were up 15% over Q4 2014, making it the only industry sector to increase its cash and short-term investments year over year. Following Microsoft, Alphabet, Cisco and Oracle in the IT sector, in terms of cash and short-term equivalents, is Apple at $38 billion, then Intel ( INTC ) at $25.3 billion. Big companies with lots of cash are in a strong position to make acquisitions. And companies with large balances of long-term investments, such as Apple, also demonstrate a greater degree of financial stability and flexibility. Following Apple and General Electric as having the biggest money horde overall, when including long-term equivalents, are Microsoft at $114.1 billion, Alphabet at $79.6 billion, and Cisco at $65.2 billion.