Elon Musk Takes a Victory Lap as Tesla Smashes Delivery Record

In a stunning comeback for Elon Musk’s Tesla, the electric car manufacturer broke its record for car deliveries last quarter. With 95,200 cars delivered (more than 4,200 more than markets expected), Tesla stock (TSLA) was skyrocketing in after-hours trading, up more than 7%.

Bears Have Battered Tesla Stock This Year

Tesla bulls have taken a beating this year. The downtrend was fueled by a combination of demand concerns mixed with expectations of greater competition in the electric car niche. Add to these fundamentals that Elon Musk’s credibility is at an all-time low on Wall Street, and you can easily explain the stock’s poor performance.

A Massive Short-Squeeze Is Possible In TSLA

However, with this gigantic second quarter, it may be the turn of the bears to go on the run. According to data provided by Ross Gerber on Twitter, there are still significant short positions in TSLA. With so much negativity priced into Tesla, there is no question it could be a stormy day for short sellers.

Analyst Believes Demand Is Real, Backs Elon Musk

The big question for investors is whether this is a dead cat bounce in demand or something more sustainable. Gene Munster from Loup Venture’s believes that this is not pent-up demand but rather an indication of the underlying strength of Elon Musk’s company. In an interview with CNBC, Munster also shrugged off concerns about the departure of many talented individuals from Tesla’s board.

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