Warren Buffett began to actively buy Tesla shares

Warren Buffett began to actively buy Tesla shares

November 19, 2020 0 By autotimesnews

Previously, the famous investor played against the company of Elon Musk

In recent days, Tesla shares have risen in price by almost 20%. The entire company is now worth $ 461 billion. By comparison, the world’s second-most valued automaker, Toyota, is valued at just 198 billion. Moreover, Tesla is now almost three times more expensive than Volkswagen and 12 times more expensive than Ford.

The simplest explanation for the growth of shares in recent days is the news about the imminent inclusion of Tesla shares in the prestigious S & P500 index. However, there may be another reason, writes Electreck.co.

Analysts have noticed that among the buyers of Tesla shares, which are raising prices, there is one large investor who has bought up $ 11 billion in securities in recent days.

Under American law, a shareholder has the right to hide his name until his stake in the company reaches 5%. This has not happened yet, but the rumored mysterious buyer is the famous investor Warren Buffett.

If so, Buffett’s motivation is not entirely clear. He could suddenly believe in the potential of Tesla, or, on the contrary, acts against the company, intending to use his shares to collapse quotations.

Previously, Buffett has consistently acted against Tesla. He has invested in the Chinese carmaker BYD, which also makes electric cars, has tried to oppose the development of solar energy in Nevada, where he owns a power plant, and has also opposed the practice of directly selling Tesla cars over the Internet, since he owns a network of car dealerships.

One way or another, Buffett’s own fortune is now less than Elon Musk’s. According to Bloomberg, at the time of this writing, Musk is the third richest person in the world, while Buffett, once the first on the list, is now only sixth.