How to Short Tesla Stock

Two inverse ETFs make shorting Tesla as simple as buying any stock

Tesla Inverse ETFs

Two ETFs provide inverse exposure to Tesla (TSLA) stock:

ETFNameLeverageExpense
TSLSDirexion Daily TSLA Bear 1X1x1.07%Details →
TSLQAXS TSLA Bear Daily ETF1x1.15%Details →

How to Short Tesla on Any Platform

Both TSLS and TSLQ are available on every major brokerage:

  • Robinhood: Search "TSLS" or "TSLQ" → Buy shares
  • Webull: Search the ticker → Buy shares (or use margin to short TSLA directly)
  • Fidelity: Search the ticker → Buy shares (or short TSLA with margin approval)
  • E*TRADE: Search the ticker → Buy shares

No margin account, no borrowing fees, no complex setup. Just buy shares like any stock.

Why Short Tesla?

Tesla is one of the most shorted stocks in the market. Common reasons traders short Tesla include:

  • Valuation concerns relative to traditional automakers
  • Competition from other EV manufacturers
  • Regulatory and political risks
  • High volatility creating short-term trading opportunities

Risks of Shorting Tesla

  • Extreme volatility: Tesla can move 5-10%+ in a single day
  • Short squeeze potential: Tesla has experienced major squeezes before (learn about squeezes)
  • Leverage decay: Even 1x inverse ETFs experience some tracking error over time
  • Elon factor: Tweets and announcements can cause sudden price spikes

Other Single-Stock Inverse ETFs

If you're interested in shorting individual companies, check out inverse ETFs for Apple (AAPD), NVIDIA (NVDS), Microsoft (MSFD), Amazon (AMZD), Meta (METD), and Alphabet (GOOGD).

View all single-stock inverse ETFs →