Tesla Motors Inc (TSLA) One Of Three Stocks Moving On These Stories

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These sides have been fighting a Research In Motion Ltd (NASDAQ:BBRY) based war for several months now and they have chosen the media as the battlefield. Targets from Jefferies, Morgan Stanley (NYSE:MS), and Wells Fargo & Co (NYSE:WFC) all give BlackBerry a bright future setting price targets well above current levels. But bears at Citigroup Inc. (NYSE:C) and Canaccord have given lower targets to BlackBerry. Each time an analyst puts out a report, the effect is only enhanced by the echo chamber that parrots whatever they say. Consequently, one report, however misleading it may be, can become fifty reports on that report with hours, swinging shares in one direction or the other.

Like the stocks mentioned above, I hold shares of BlackBerry in the more aggressive part of my portfolio. The day to day swings in the share price make for an interesting game to watch but I have learned to not become too attached to these lacking-of-actual-news swings, if I did I couldn’t ever get to sleep at night. Investors in BlackBerry need to be aware that the battle between bulls and bears, who likely have a lot more to lose than you do, is happening in your own backyard if you hold BlackBerry in your portfolio. This is not necessarily a reason to avoid BlackBerry, it is just something to expect when owning shares of such a dividing company.

News about the news

Tesla Motors, Solazyme, and BlackBerry have very little in common as a group but all three fall into the category of stocks frequently driven strongly higher and lower based on the day’s news. All three companies have the characteristic of having critical information that the investing public doesn’t know. As a result, analysts try to fill the void where they see a demand for information. While there are many analysts out there who do report their findings in the least biased way possible and to the best of their abilities, there is another group of “analysts” who distort information for their own personal gain. Investors in these three companies need to be aware that their investments are highly vulnerable to “pump and dump” and “short and distort” attacks in the short term. However, those investing for the long-term can take a degree of comfort in knowing that today’s news is just today’s news and that many other reports will surface over time to prove the true value of their investment.

Alexander MacLennan owns shares of BlackBerry, Tesla Motors , and Solazyme. The Motley Fool recommends Tesla Motors . The Motley Fool owns shares of Solazyme and Tesla Motors .

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