One of Tesla’s (NASDAQ:TSLA) bears and boisterous detractor, Jim Chanos the creator of Kynikos Associates, announced that he had cut short his TSLA stocks. In what could only be interpreted as quick remarkable success for the automaker, Chanos also confessed that if he were to meet and sit down with Elon Musk, he would tell the Tesla CEO “job well done so far.”
For five years, Chanos has been short TSLA, and at that period he was one of the company’s biggest and most outspoken critics of the company. One of the boldest statements he made against the carmaker was when he revealed that Tesla was worth $0 back in 2017. Chanos became popular instantly. Chanos also pointed out that Tesla and Elon Musk “have a wide interpretation of the truth,” and in the time of announcements “that were not true.”
For the first four years, Chanos admitted that his TSLA short was not such a horrible bet during in an interview with Bloomberg. In the past 12 months, Chanos has acknowledged, though that the process has been frustrating with TSLA increasing more than 700% and reaching a market value of over half a trillion dollars.
“It was obviously painful,” he said, noting that his short position toward the electric car company had been diminished.
While the success of Tesla has been remarkable, the company is far from over in achieving things. TSLA is anticipated to be listed to the S&P 500 later in this month, and if it is it is higher than all but five of the predicted index members. The company also is almost done with the construction of factories in Germany and Texas, where vehicles such as Model Y and the Cybertruck will be produced.
Chanos maintained that he still had issues with Tesla’s market plan and valuation and argued that regulatory credits are the foundation of the company’s five consecutive quarters of profitability. None the less, he confessed that he would congratulate Elon Musk if he ever encountered him. Though he never met Musk or had an opportunity to chat with the CEO, if they will meet in the future, “I’d say, ‘Well done so far.”