Tesla's stock crash benefits short sellers, BYD soars

Tesla's stock has dropped significantly, causing the company to lose more than $700 billion in market value since last December. This decline has benefited short sellers, who have made $16.2 billion as Tesla's shares continue to fall. On the other hand, Chinese electric vehicle maker BYD has seen its stock reach an all-time high. BYD’s success is attributed to its new fast-charging technology. This 1-megawatt system can recharge EV batteries as quickly as filling up a gas car. The new models, Han L sedan and Tang L SUV, have contributed to this surge. BYD's American Depository Receipts (ADRs) rose 2.6%, reaching $102.70 per share. This boosted its market value to nearly $160 billion, surpassing the combined market caps of major automakers like Volkswagen, General Motors, and Ford. While BYD focuses on EV innovations, Tesla is diversifying into other areas. CEO Elon Musk is now concentrating on developing humanoid robots, which he believes could lead to significant future profits. However, his many projects may be stretching him thin, impacting his ability to manage Tesla effectively. Despite short sellers profiting recently, they have lost a total of $64.5 billion since Tesla's IPO in 2010. Thus, their gains have not erased long-term losses associated with betting against the company's stock.