Momentum Monday…The Magic Behind LinkedIn and Tesla Motors

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  • on February 11th, 2013

Welcome to Momentum Monday. Today take a deeper look into the price action around LinkedIn, Tesla Motors and a few other StockTwits 50 stocks including $MENT and $EFII (blasts rom the past in technology).

$LNKD is a magical product, disliked by the media and hedge funds for being expensive by all fundamental measures. Instead of leaving it alone for ideas that they can grasp, the analysts build models for their bosses that allow them to short the stock with fancy words.

Tesla is already a $4 Billion company and the analysts are hard at work shorting the stock on metrics that don’t matter at the moment. All big trends need disbelievers. Elon Musk is thinking well beyond 400 cars per week and $4 billon in market cap. This could be a $100 billion platform opportunity in the auto, energy and retail space. For 20 times upside i can risk the 40-50 percent downside (though I would likely cut my losses much sooner). My risk tolerance will change along the way as well, but I am long for now. I delve deeper in the show.

We also dive into the Stocktwits 50 weekly list of stocks where $DDD has been on the list 44 week straight. The next huge stocks winners are on the list today. Start spending some time on the list and finding some interesting signal and trends of your own.

Disclosure: long $LNKD and $TSLA

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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