$MS cosplaying as the squid.....

"But the investment bank had information it didn’t share with the stock buyers: The basket of shares it was selling, comprised of eight or so names including Baidu and Tencent Music, was merely the opening salvo of an unprecedented wave of tens of billions of dollars in sales"
"Morgan Stanley was the biggest holder of the top ten stocks traded by Archegos at the end of 2020 with about $18 billion in positions overall. Credit Suisse was the second most exposed with about $10 billion, these sources noted....
... That means that Morgan Stanley could’ve faced roughly $10 billion in losses had it not acted quickly. “I think it was an ‘oh s---’ moment where Morgan was looking at potentially $10 billion in losses on their book alone, and they had to move risk fast."
“It was a gigantic clusterf--- of five different banks trying to unwind billions of dollars at risk at the same time, not talking to each other, trading at wherever prices were advantageous to themselves,” one industry source said."
"Morgan Stanley largely exited its Archegos positions by Friday, March 26 with the exception of one holding: 45 million shares of ViacomCBS, which it shopped to clients on Sunday, according to the people....
... The bank’s delayed disposal of Viacom shares has sparked questions and speculation that it held onto the stock because it wanted a secondary offering run by Morgan Stanley the week before to close."

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More from @JCOviedo6

5 Apr
"One person on the call bluntly asked if the losses would affect their bonuses, which can make up a huge proportion of managing directors' total compensation. (Bonuses may already have been a sore subject, given the bank rewrote the structure for cash payouts...
... in investment banking and capital markets last year.) Gottstein and Chin responded with a call for solidarity across business lines, a nonanswer that eroded their credibility, the person on the call told Insider."
Read 5 tweets
7 Aug 20
Where Musk is confused by what telling the whole truth means
Peak Musk gaslighting.
Read 31 tweets
11 Jul 20
The Model Y is a massive flop.

$TSLA delivered ~3k Model Ys in Q1 and ~13k Model Ys in Q2.

Tesla is now cutting the price of the Model Y in the U.S. (before the Model Y is even available in markets outside N.A.)
To put the Model Y price cut in perspective, Tesla had delivered over 80K Model 3s before it launched a lower priced version of the Model 3 the MR in October 2018.

Clearly initially Model Y demand is running materially lower than initial Model 3 demand.
Unlike the Model S, the Model 3, and the Cybertruck, Tesla has never released any Model Y reservation or deposit numbers.

One can likely infer that the numbers were always underwhelming.
Read 30 tweets
9 Jul 20
Some highlights from the Tesla SUA lawsuit filed this week:

1. $TSLA has a long documented history of reports of Sudden Unintended Acceleration. ~70x more SUA complaints than the average automaker.
2. $TSLA tried to solve the SUA issue with Obstacle Awareness update in October 2018

The update only went to cars that had Auto Pilot II hardware installed meaning no attempt was made to solve the SUA in cars without this hardware

Update didn't even address parking situations
3. 1/2 of the SUA complaints come from cars that have Hardware 2.0 installed

Obstacle Awareness is insufficient to solve the SUA defect.
Read 9 tweets
2 Jan 20
One of the 2 completed NHTSA investigations into a $TSLA Autopilot crash was the Joshua Brown crash in 2016.

In January 2017 right at the end of the Obama administration, NHTSA issued a report declaring that there were no safety defects with Autopilot and that autopilot resulted in a 40% reduction in the Tesla vehicle crash rate.

The NTSB also issued a report on this crash in September 2017 where it determined the operational design of the Tesla’s vehicle automation permitted the car driver’s overreliance on the automation (ie #predictableabuse) was a contributor to the crash.

Read 5 tweets
23 Nov 19
Fun Facts to consider after today's deposit pump:

In the Q1 2018 $TSLA Quarterly letter, Tesla claimed that it had Model 3 "net reservations" that "continued to exceed 450,000 at the end of Q1."

As of the end of Sep 2019, Tesla has delivered a total of 356,084 Model 3s.
In the Q2 2019, Earnings letter, Tesla wrote "order generation has shifted nearly entirely to non-reservation holders."

This implies that no more than 200,000 (and likely less than 150,000) of the Model 3 order backlog actually ended up purchasing a car.
The Model 3 was "unveiled" and started taking deposits on 3/31/2016.

At the unveiling event, Musk announced Tesla had 135k orders for the Model 3.

On 4/1/2016 Musk tweeted that Tesla had 180k orders for the Model 3 and then later tweeted that Tesla had 198k orders.
Read 19 tweets

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