Tesla exec dumps 82% stake; Musk warns short sellers will be ‘obliterated’ at autonomy scale

In a significant development for Tesla, Senior Vice President Tom Zhu has divested over 82% of his shares in the electric vehicle giant. This move, which took place between 2023 and 2024, involved transactions at prices ranging from $174 to $323 per share, as detailed in recent regulatory disclosures. Zhu's decision to sell has raised eyebrows regarding insider confidence in the company's future prospects. In reaction to this high-profile transaction, CEO Elon Musk has issued a tough warning to those betting against the company. Addressing a list of Tesla's net short positions shared on X (formerly Twitter) by user Alexandra Merz, Musk declared that short sellers would be “obliterated” once Tesla achieves its goal of autonomy at scale. The list included various hedge funds and trading firms with substantial short positions, including MUFG Securities EMEA, Jane Street Group with approximately $2.77 billion, and Citadel Advisors with around $1.38 billion. Other notable firms such as Adapt Investment Managers and Belvedere Trading also featured, each holding short positions ranging from $495 million to $802 million. Musk's confrontational rhetoric is not unprecedented; he has previously engaged in disputes with high-profile investors like Bill Gates regarding Tesla shorts. According to Walter Isaacson’s biography, Gates’ short position may have cost him an estimated $1.5 billion. Musk has warned that if Tesla becomes the world’s leading company, it could lead to significant financial repercussions for those who maintain short positions, including Gates himself. Despite the recent fluctuations, Tesla's stock has seen a 6.1% increase over the last five trading sessions, though it has declined by 16% this year. In contrast, the stock has risen by an impressive 68.5% compared to the same time last year. On another front, Tesla is making strides in the Indian market, with plans to expand its supercharging network in key cities such as Delhi-NCR, Mumbai, and Bangalore. The company aims to initiate deliveries in India by September, with plans for charging stations in Gurugram, Noida, and Saket, as shared by Tesla Regional Director for Southeast Asia, Isabel Fan. Additionally, Tesla has recently opened its second experience center in India at Aerocity, coinciding with the launch of its first charging station in the capital. The first experience center was launched in Mumbai last month, alongside the introduction of the Model Y, priced starting at ₹59.89 lakh.