The meme that needs to die is referring to Tesla as $TSLAQ. The trailing Q indicates a company in bankruptcy.
The addition of Tesla to the S&P 500 means that bankruptcy is now much less likely than previously.
Huge amounts of money specifically track the S&P, and huge additional amounts of money "closet index". Index money flows into the stock market on a daily basis and creates price support for all S&P 500 stocks, including Tesla.
Create a panic for a small period and get rich.
I agree this is a viable strategy for betting against many stocks. But now Tesla has probably gotten too big for that strategy. I've tried to read Reddit WallStreetBets but there's so much noise. Smarter people than I undoubtedly can make money on the back of that army of "not very smart" people.
The addition of Tesla to the S&P 500 means that bankruptcy is now much less likely than previously.
Huge amounts of money specifically track the S&P, and huge additional amounts of money "closet index". Index money flows into the stock market on a daily basis and creates price support for all S&P 500 stocks, including Tesla.
Create a panic for a small period and get rich.
I agree this is a viable strategy for betting against many stocks. But now Tesla has probably gotten too big for that strategy. I've tried to read Reddit WallStreetBets but there's so much noise. Smarter people than I undoubtedly can make money on the back of that army of "not very smart" people.