Hedge Fund Scraps Tesla Short in New Letter After Surprise Rally
- Adam Capital closes short position in electric-car maker
- Tesla shares have gained 25% since third-quarter earnings
Photographer: Justin Chin/Bloomberg
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One of Brazil’s largest independent hedge-fund managers has abandoned its bearish view on Tesla Inc., the electric-car maker run by Elon Musk.
Adam Capital has scrapped a short position in Tesla’s shares, saying in a monthly note to clients that the company’s improving operating efficiency has hurt its investment thesis. The size of the firm’s short position wasn’t disclosed.