Shorts Get Rare Payout on Tesla in Worst Year for Bears
This article is for subscribers only.
In one of the toughest years ever for short sellers, betting against Tesla Motors Inc. is starting to pay off.
Tesla, the best-performing stock in the Nasdaq 100 Index for 2013, has lost 29 percent since Sept. 30. About $6.59 billion was wiped from its market value, the biggest decline this year among the 10 most-shorted American companies, data compiled by Bloomberg show. Options traders are increasing the cost of betting on declines amid speculation the shares will keep paring a 307 percent rally.