Hedge Fund Manager Davaid Einhorn is increasingly negative to Tesla.
In his last comment, he said: "The wheels are getting off." Einhorn is the president and founder of Greenlight Capital.
The Einhorn Fund grew 11% after he took positions against Tesla. The 50-year-old investor has criticized the automobile company's safety protocols as well as the Tesla models where the suspension is causing problems. It is this problem that leads to the "loose" wheels of the cars. Einhorn was mostly provoked to shout against Tesla after a Model S driver died in Florida in February after a wood struck.
The billionaire boasts his short stance on Tesla and compares it to Lehman Brothers. Months before the collapse of the investment bank, the fund took short positions against them. The other reasons why Einhorn bets against Tesla are: lack of demand, desperate price cuts, re-closing and re-opening, closing of workshops, wage cuts and labor, as well as hasty announcements about unfinished products.
Einhorn also dismissed personal criticism of Elon Musk, calling him "a person who never admits there is a crisis in time".
Last year, Tesla only hurt the fund's performance after the company's stock jumped 7 percent. This year, however, the shares have taken on a different trajectory. The company is down about 20% since the beginning of 2019.
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