Bill Gates, co-founder of Microsoft, reportedly incurred a $1.5 billion loss due to a short position against Tesla, as revealed in Walter Isaacson's biography of Elon Musk.
The short position, which bets against Tesla's stock, has drawn criticism from Musk, who described Gates' actions as hypocritical, especially given Gates' advocacy for environmental initiatives.
As of December 10, Tesla shares had surged over 61% year-to-date, closing at $400.99. Musk indicated that Gates could face bankruptcy if Tesla becomes the world's most valuable company, requiring a 200% increase in its stock price.
Gates initially aimed for a $500 million profit from betting against Tesla during the company's challenging times. This position reportedly affected regular investors negatively.
Despite their tensions, Gates has acknowledged Musk's contributions to sustainability, stating in a 2021 interview that Musk's work with Tesla is commendable.
Analysts remain optimistic about Tesla's future, with target prices set at $450 and $400 per share by CFRA and Morgan Stanley, respectively, despite potential challenges in the EV market.