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'Funding Secured': Tesla's Stock Hits Musk's Infamous $420 Level

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'Funding Secured': Tesla's Stock Hits Musk's Infamous $420 Level

Tesla Inc's (NASDAQ: TSLA) stock has hit yet another milestone.

Just a few days after trading above $400 for the first time ever, Tesla's stock briefly crossed $420 in intra-day trading on Monday morning. This comes 16 months after CEO Elon Musk infamously tweeted that the company had "funding secured" for a buyout at the $420 per share level.

Musk’s tweet drew a lot of criticism and resulted in a fraud settlement with the SEC. Since that tweet, Tesla's stock is now up about 8%.

On Friday, S3 Partners analyst Ihor Dusaniwsky said Tesla’s 126% rally since its June lows have it on the brink of what could be an explosive short covering event.

“Tesla shares shorted have not dipped below 20 million shares since mid-2013, but as its stock price keeps hitting historical highs we can expect short covering to accelerate as short mark-to-market losses mount,” Dusaniwsky said.

Tesla's stock traded higher by 3.3% to $418.93 per share at time of publication.

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