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A comment on Stock Market: What Happens If Tesla Enters S&P 500. Parent comment

Re:Stock Market: What Happens If Tesla Enters S&P 500 by justapassenger on Saturday August 01, 2020 @01:40PM (#24022365)
It's more complex. Basically, you have to be careful when playing with a bubble, or you'll pop it.

Their astronomical stock growth, with no underlying business reasons (as in - nothing fundamentally changed about their business, or their competitors), that even CEO says made company overvalued, 50% ago is a bubble.

They may grow into it, or slowly deflate it. But big pop of the bubble can be deadly to a company.

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Re:Stock Market: What Happens If Tesla Enters S&P 500 by throw0101a on Saturday August 01, 2020 @03:34PM (#24023232)
> Their astronomical stock growth

Meanwhile, bond holders are asking for 4% more than similarly-size companies:

> This is remarkable data, Tesla’s five-year bonds are yielding nearly 400bps more than their possible market capitalization neighbors in the S&P 500.

* https://www.thebeartrapsreport.com/blog/2020/07/19/gaming-th...

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