Tesla (TSLA) Defies Gravity as Shares Top $300

April 4, 2017 12:05 PM EDT

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Tesla (NASDAQ: TSLA) broke above $300 per share Tuesday morning, a level with psychological and technical importance given previous failures near $290. The impressive march from below $180 per share in November likely has many naysayers shaking their heads, while short sellers appear dumbfounded.

The stock's valuation, justified or not, offers a reprieve for the company's CEO Elon Musk, who faced criticism last year for, among other issues, Tesla's controversial takeover of SolarCity.

According to recent Nasdaq data, 31.1 million shares of Tesla are held short, or about 26 percent of the float. The bearish bets have already suffered steep losses, estimated to be in the billions. As the ill-fated bets soured, Musk taunted his critics via twitter, tweeting yesterday, "Stormy weather in Shortville .."

While Telsa bears are down they certainly are not out, and it remains to be seen which side will have the last laugh. Tesla by some measures is the most valuable U.S. car company. Its enterprise value, for example, easily tops GM and Ford's, though its revenue is just a small fraction in comparison.

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