Tesla Lures $2.8 Billion From Korean Day Traders Amid Stock Drop


(Bloomberg) — South Korean retail investors have bought a net $2.8 billion worth of Tesla Inc. stock this year amid the electric-vehicle maker’s worst slump on record.

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Day traders have added $160 million in Tesla shares this month through Dec. 27, on track for a third month of net purchases, according to data from Korea Securities Depository. They continued to buy even as the stock has tumbled 44% in December, headed for its worst-ever month.

Tesla’s 2022 Collapse Hits 69% After Deepest Selloff Since April

Tesla remains the most popular overseas stock among Korean retail traders, who sharply increased investment during the pandemic. Elon Musk has built a devoted fan base in the Asian nation, luring dip-buyers in its 2022 collapse on top of those who piled in as it soared over the previous two years.

Tesa supplier LG Energy Solution Ltd. has been a beneficiary as well, with Korean mom-and-pop investors pouring a record amount of funds into the battery maker’s initial public offering in January. LG Energy’s shares are up 46% since its debut.

South Korea’s retail investors has also remained loyal to their favorite domestic stock, Samsung Electronics Co., buying a net $12.3 billion so far in 2022. Shares of the world’s largest memory maker are down 28% this year amid the global tech selloff.

(Adds net buying of Samsung Electronics in last paragraph)

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