6 ms·

you can't just sell +300M$ of stock like that

• gersh 10y ago
  4.45M Tesla shares trade ever day. You could liquidate $300m in Tesla stock at less than one day's average volume.
  • valarauca1 10y ago
    $300mil in Tesla Stock ~1.4M shares. The average trade volume is as you say 4.45M shares. Selling an additional 1.4M raises the daily trade volume by 31.4%. Economics is supply and demand. If you increase supply by a massive amount when not changing demand. The price tanks. Effectively you are killing your own price point and this sales strategy isn't in your favor.
  • manicdee 10y ago
    Trading almost 2M shares on a 5M market is a silly thing to do. More sensibly, tossing out one batch at a time of less than 5% of the market will allow the stock to clear without sinking the market. So parcel up the 2M into 50 groups of a few tens of thousands and we are cooking with gas.
• jonknee 10y ago
  Not in all companies, but in Tesla you sure can.