tesla up 33:00/4 of 1%.e read after reporting third quarter results. what is the issue? >> health care stocks were under pressure throughout the day. tenet came out with third quarter results. saw the profits slide. they experienced higher expenses which got cut into their numbers. liz: hertz plunged into negative territory. this is a tough business these days. >> they too faced higher expenses, liz. hertz is down over 10% today adam: pandora getting a boost after reporting listener hours. what is going on. >> win-win, win, pandora is up. liz: here come the bells but in the end pandora is a star. we're watching for tesla. nicole is watching for it. as we look and see as we finish up it is really the dow jones industrials, guys that has jumped up, down, up, down. [closing bell ringing] it was relatively flat until last couple minutes t was down 117, not 17. adam: the fact we came back is pretty remarkable too. we're looking forward. we'll talk about jobs numbers on friday. we're talking today about tesla. how

tesla shares are up a bit after that accident. th's good ns to hear for skern with the workers our real themselves also watching. si cisco down 13%. >> great perspectiven the accident with sla. >> still ahe do you find yourself wondering when will my adult kids move out of my house? >> you got a fewyears. >> we hav less tn encouragi answerhan that coming up. >>> welcome back everybody. if you are the pent of a 20 living withthem.re y are still or at leas they ar living nearby u. d it may be due to the weak job maet outthere. or they love the fl of your sofa sitting around. the u.s. census showing a record number of 20 something deciding not torelocate for jobs. 23% adults age 25-29 move in 2013.month ending in march aot of them are stayi there in the community either living th roommates or staying home with parents. the census shows a lot of college graates are delayg fu time careers, delaying marria and also putng off having children. out 34 of the people in that age brack they ownhomes. the age bracket is now called generaon wai

now, this is just the latest in a series of pr troubles for tesla. the company is now the target of a class action lawsuit over

adam: otherour facebook question is about tesla. we we want are awe fan of tesla? would you buy the car if money wasn't an issue? log on to facebook.com/afterthebell to let us know. ♪ [ male announcer ] once, there was a man who found a magic seashell. it told him what was ppening on the tradg floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ [ indistinct talking continues ] [ male announcer ] so the magic shell went back to being a...shell. get live squawks right in yr trading platform with think or swim from td ameritrade. get live squawks right in yr trading platform help the gulf when we made recover and learn the gulf, bp from what happened so we could be a better, safer energy company. i can tell you - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity

. >>> car fires tarnishing tesla's reputation. >> oh, that's a tesla, dude! >> how its high-profile ceo is venting his frustration. the unusual step he is taking to put fears to rest. >> a police force bleeding officers. now a bay area city is budging in a battle over pay. what it's giving up to keep officers on the streets. >> we wanted to sell 500 shirts. we sold 1800 by batkid day. >> the buzz over batkid takes on a life of its own and a bay area t-shirt company can barely keep up. how you can still get your hands on one. ,,,,,, appears to be over. the city and its police uni >>> the long labor dispute that's been driving police out of san jose appears to be over. the city and its police union reached a tentative contract agreement that would restore the 10% pay cut officers took a few years ago. a 4% raise would come as soon as the contract is ratified. that would be followed by 3% raises over the next two years. and a 1-time 2% bonus. >> i'm grateful that they agreed to the 10% paycuts a few years ago. we have been trying to give it back to them as we ca

what would you do with tesla?y enough heading into the event the calendar did exactly what you wanted. it cheapened the price of the call. the stock ran into the event. event trading is hard. that's why we define risk. the idea was you had a profit before the event without taking risk. you could have taken it or spread it reducing your cost basis. but right now, okay, i mean, i actually bought a little tesla today. i think it made an epic short term bottom, what you call a spike bottom. an open low, it gapped down then big reversal. it didn't close green i would have loved to see that. but you should see follow through next week i'm looking for 150 as a trade. >> do you buy into the epic bottom. >> spike bottom. of epic proportion. >> absolutely not. because the valuation is also epic. this is one of these names, and you know what, actually, i think these are great cars, i don't think these cars -- >> we're trading and you're talking valuation the stock is down 30% peak to trough from september 30th. >> it should

tesla down better than 10%. gentlemen, thank you for your time. >> thank you. >> we'll see you soon. i'm back with amy wu, rbc, rex, david kud la and rick santelli. do any of you own tesla? >> no. i would rather own the car than the stock. and i own an electric car. and i built an electric car. >> oh, okay. so, you're an electric guy. david kudla, are you still buying stocks here or getting nervous? >> we're still buying stocks. we still own stocks. you know, we've heard a lot of talk about bubbles and euphoria. there may have been too much euphoria coming into this earnings announce the. when we look at the broader market, and four stages of the bull market, disbelief, denial, acceptance and then euphoria, we think with the skepticism and haters of this bull market rally, we're between the denial and acceptance, not the euphoria stage. valuations would support that. as we look around the world, the growth -- synchronized growth between developed countries like japan, china, europe now coming out of recession, u

bob mentioned some happened as the tesla plant was tesla. this is not unique. tesla plant t pject between he general motors and toyota. accidents weren' common but they ham. one pers run over by a pickup truck andnother lost his hand to a high pressure water hose. these ings are going to occur when you mix people a heavy machinery. that said it has been a statisticalldifficultouple of weeks for tesla stock. shares sliding after the car fires at bob wasalking about. down to about $ since their all time high. on musk in the cente has said himsel thought the stock was overvalued. tesla suffersar fewer fis, by the way, ten any other r. whent comes to the car fires all three of the drivers in all threof the cars that were bued they ordered new teslas. >> teresting. ank you for the update. >>5:33. the santa clara county sheriff's department continuing search for a missing cupertino teenager who disappead earlier this week while heading to school. cupertino high whe emma pickett wento school. at's the latest? >> reporter: i was on line on th website for cupertino high

tesla's ceo elon musk tweeted to followers tuesday morning, why does a tesla fire with no injury get more media headlines than 100,000 gas car fires that kill hundreds of people per year? but many wonder does the so- called safest car in america look like this? the national highway traffic safety administration is going to find out. the u.s. safety agency announced a formal probe into the company's electric cars after two fires started over the past few weeks. one here in washington state -- >> oh, that's a tesla, dude! >> reporter: -- on the other in tennessee. in both cases fire started after the cars' undercarriages hit met toll objects on the road. the debris pierced the battery compartment causing a fire. the center for auto safety compares it to another popular electric car, the chevy volt. in a statement, they say, "unlike the volt, the tesla had three fires not one. tesla needs to fully cooperate with nh tsa to determine the problem is a lack of a shield." the future of tesla's stock hangs in the balance. the company experienced a nosedive following the incident. >> it has to

i walked into a tesla -- can't call it a dealership.on, whatever they call them. >> store. >> i said how long would it take me to get a model s, one to three months. i thought it was three. when i heards the one my ear perked up a little bit. not like they need to perk up more than they have. >> no more shortages? >> i don't know. this is my anecdotal two weeks ago in manhattan. >> depends on what kind of car you want. certain ones they have more availability what you want. >> andrea, thank you so much for weighing in. herb, we'll see you later as well. >> it may sound too good to be true but after the break, two real estate multimillionaires will bring their money making advice to you free of charge. >> and later on, get ready for the mall madness with only ten days left until black friday. we'll tell you the retailer to beat this holiday season when "street signs" returns. over the next 40 years the united states population is going to grow by over 90 million people, and almost all that growth is going to be in cities. what's the heal

keep in mind, tesla is the number one selling car in norway. >>> another vision of tesla ceo elon muskas taken a big step forward tonight. musk has proposed building what he calls the hyper loop, which would shoot you through a tube in an air conditioned capsule between san francisco and los angeles in half an hour. sounds crazy, but a group of engineers, designers and entrepreneurs has signed on to this idea and they have now formed a business called hyper loop transportation technologies inc. the company said today that several high-tech firms and the ucla school of architecture have been enlisted to help with this project. >>> trick or treaters hit the streets early today in san jose to get a head start on halloween. pirates, princesses and, of course, super heroes head out to the willow low glenn shopping district for this event. businesses on lincoln avenue handed out candy in front of their stores. one stop, kids were able to pick out a free book instead of loading up on even more candy. >>> weather is perfect for them tonight. >> absolutely. perfect companies in the afternoon. n

keep in mind, tesla is the number one selling car in norway. >>> another vision of tesla ceo elon musk has taken a big step forward tonight. musk has proposed building what he calls the hyper loop, which would shoot you through a tube in an air conditioned capsule between san francisco and los angeles in half an hour. sounds crazy, but a group of engineers, designers and entrepreneurs has signed on to this idea and they have now formed a business called hyper loop transportation technologies inc. the company said today that several high-tech firms and the ucla school of architecture have been enlisted to help with this project. >>> trick or treaters hit the streets early today in san jose to get a head start on halloween. pirates, princesses and, of course, super heroes head out to the willow low glenn shopping district for this event. businesses on lincoln avenue handed out candy in front of their stores. one stop, kids were able to pick out a free book instead of loading up on even more candy. >>> weather is perfect for them tonight. >> absolutely. perfect companies in the afternoon.

top of the list, and at least so far, nobody has ever died in a tesla vehicle. >> reporter: now, tesla is now extending the warranty on its cars to cover fire damage, and that's fire damage, even if it's caused by the driver. and, scott, this is interesting. the company is also issuing a software upgrade for the suspension system on the models, that will prevent the cars from getting too close to the ground at the freeway speeds. >> pelley: ben tracy in our los angeles news room. ben, thanks very much. there is news tonight about the english language. the folks who publish the oxford dictionary have named "selfie" the word of the year. a self self-portrait, often taken with a smart phone. this is a selfie of our evening news research department. oxford estimates use of the word in the past year has increased 17,000%. we'll ask research to check that out. we'll be right back. of their type 2 diabetes with non-insulin victoza®. for a while, i took a pill to lower my blood sugar, but it didn't get me to my goal.?w so i asked my doctor about victoza®. he said victoza® is different than pil

live look a the tesla plantn fremt. moer nature helpi paint this picture. the changes coming after tee car fires. into these changes. digging he will have a live report in about 10 minutes. first an update to breaking news i lebanon where an al qaeda linked gro says it's behind two deadly blasts outside the iranian embassy. we're learning the attacks relad to the ongoingonflicts neighboring ria. marla teez is live in our wsroom with why another attack could b immeant. also you have new video. >> yes. the associated press pted new video and new still image on twitter. it shows the aftermath outside the iranian embassy. these are vehicles onire at one pnt you see some people running, part of the ground blown out. here is a look at these images al qaedainked group is claimingesponsibility for the double blasts that left at least 23 dead, aost 150 injured. a lebanes security official says two men orchestrated the bombings, one on a motorcycle, another in a car, together they detonated close to 115 pounds of explosives. this

they are investment for tesla.minating the biggest reason people say they hesitate to buy electric car. >> lowest we got was 13 miles left which is probably about as low us a want to go. >> i have gotten home to my own charging station with 14 miles left and a little sigh of rehalf. >>reporter: have you ever gotten caught short. >> not yet. >>reporter: of course tesla can charge at other outlet that's good thing because here in san francisco there isn't a super charger. nearest one is free mont at tesla factory. free charger here take several hours to charge up. will we see one here. >> if you think about it that's probably a good idea. >>reporter: but first tesla wants to finish the route from new york to l.a. then boston to miami. in san francisco, jonathan bloom abc 7 news. >> away they go. tesla is by the way becoming as pop already as pricey in affluent areas. according to edmonds.com the tesla no. 1 selling car in these bay area cities. listed here >> these are also on the most affluent places in the country.

now, tesla ceo elon musk is venting on twitter...and assuring tesla owners if the government requires a fix, it would come at no cost to drivers. thanks chuck! coming up.... sequels are shining in hollywood.... the films that will have audiences coming back for seconds. and later on in chart talk....will the "apple effect" cut into pandora's profits... we'll be right back! thor is not the best man at the theater any longer. there's competition at the box office. our movie man erik childress is here to tell us all about it. good to have you back on the show as always. thor did a repeat this weekend. > >most definitely the groom to the best man this weekend. but 30 million dollars is nothing to sneeze at. it's already almost grossed what the entire original film did back in 1999. it's quite an impressive opening. > >it first opened with 9 million with the original. i went to see the best man over the weekend. > >and all your word of mouth obviously pushed it to 30. > >but that was happening on facebook and twitter. people were telling their friends, this is great! go see it. and i have

. >> pam: still ahead tonight tesla under investigation. why the company is welcoming the investigation. plus coupon on a pro basketball coach resigned after apparent leak by team one of its players. later a state senator injured after being stabbed. >> pam: virginia state senator creigh deeds. is in the hospital after being stabbed this morning. police say, an altercation took place inside the senators backed county home. then, and relatives of the found him walking down a road near his home here with the multiple wounds to the head and chest. state police them down peak 24 year old son at dusk gus deck inside the home from a gunshot wound. police say they are investigating the incident as attempted murder and suicide. the task is being treated at the university of virginia medical center in charlottesville virginia. >> pam: george zimmerman was in court again today on domestic pilot charges. then released from jail a few hours later. it is the latest in a string of run ins with the law since he was acquitted in the killing of unarm florid

tesla short, i'll go with the tesla short. >> you still staying short?ah, holding onto the puts. not because i'm stubborn, but i don't know what has really changed from what i originally said. the option activity has signaled a lot. obviously, elon musk earlier talked about valuations. we know about the different stories coming out, scott. yesterday alone, just the way the paper continued to flow, and i realized we're up five points today, something like that, on a bounce. it looks like it might have bounced off technical levels, but the options have been accelerating to the upside. options yesterday trading at 40 cents, it went to $4. 50 cents, going to $6. incredible performance yesterday. so i think some of the bounce that you're seeing right now is the fact that folks are taking off some of the profits. you see a little bit of a leveling. i think we sell back off. >> we'll find out what ben thinks, the analyst with r.w. baird, and he joins us live on the phone with his take on the stock. ben, welcome. you downgraded the stock on october 2nd. how much

there are 20,000 tesla s models on the road. the three tesla fires means only one in 6600 has burned. >>> the data shows that is more six or seven time mrs. safe than a gasoline car. >> reporter: the greatest danger, more fires. that could cause musk to lose control of the argument. channel 2 news. >>> on wall street the dow fell eight points. nasdaq lost 1 points today. analyst say investigators being cautious following a run of big gains. >> and set to hit the stage for a benefit concert at at&t park. crews were setting up the stage for tonight's concert. thousands are expected to attend the fourth annual concert for kids. they may get a bit wit. the money will benefit children's hospital in oakland and the ucfs at the university mission's by a campus set to open in 2015. >>> george zimmerman was bailed out of florida jail today following his arrest yesterday on nest violence charges. december do midwest -- domestic violence charges. a judge set bail and allowed for his release under the condition that he not possess guns. mus

nobody was injured, nobody was killed in either of the tesla model s fires and tesla this morning said traffic safety association to launch a formal investigation. it brings up the question, will there be a rrl? this is what elon musk said at the deal book contract just last week when andrew ross sorkin asked him about the potential for a recall. >> there's definitely not going to be a recall. there's no -- >> reporter: so the model s investigation, what happens now? there is no time frame for a decision. in order, it's an open ended investigation. the nhtsa team will be working with tesla. this does not guarantee a recall. there have been investigation business nhtsa in the past that has not led to recalls. often there is a recall. we just don't know. the shares of tesla since october 1st down more than 30%, though we should point out the stock is up about 3% today. the bottom line is this -- this investigation does not guarantee that there is going to be a recall but it is moving the process much more serious forward in terms of looking into what went wrong with these two model ss th

the tesla c.e.o. visited the remain lowees. >> it is hot metal that splashed on them. in the case of kevin, it looks like we i am guessing he will make a full recovery. in the case of jesus, his hands was burned and the recovery is not clear for jesus. >> the c.e.o. says the fremont plant is still operating. tesla was issued with several violations one including not having protective equipment in place. osha will talk to witnesses and go over training documents and manuals. there are six months to finish the investigation. >> now the latest on the typhoon haiyan the embassy in manila tweeted this photo showing a neighborhood in the philippines destroyed by the storm reading "wrecked homes, a cry for help." much needed relief is arriving to help hundreds of thousands of victim whose have gone without food and clone water for a week. the uss george washington started relief operation with 80 aircraft and 5,000 sailors to distribute food, water and medicine. helicopters are ferrying relief supplies to ta

. >>> one more blow to tesla. the accident a sent workers to hospital and what the ceo is saying about the company's mounting problems. >>> a pop har children's character heads to jail. the message elmo had for kids with parents behind bars. >>> and every kid want to be a super hero. how thousands of people in the bay area are making it happen for one hill boy. >>> good evening. >> tesla motors is answering to cal osha. they want to know why three workers are suffering from burns at factory. tesla's ceo spoke with the victims a couple of hours ago. >> reporter: elan musk said he was come and he did. he cass candid, straight forward. he answered all our questions before he left but you got the sense he was doing some damage control. elan musk arrived unannounced in the darkness with a small entourage and headed straight for the cameras. >> he wanted to make sure they were getting good care. >> reporter: he visited his employees in the burn unit and referred to them by their first names. jorge and kevin had minor in

what happens at tesla. because i imagine everybody says, oh, my goodness, there are clearly issues and concerns in the marketplace about batteries and fires, period. i mean, that's where this all begins. and then what do you do? >> well, i guess we -- you know, we kind of see what the reaction is. and then, you know, in this case the reaction is extremely inaccurate and unreasonable. you know, the fact that there are 200,000 -- 20 0,000 gasoline car fires per year in the united states, 200,000. there are on average 200 fire deaths per year, 300 fire injuries per year. how many times have you read about that? can you recall -- >> no. >> -- one instance -- >> no. in complete fairness. >> exactly. so it's like, wow, this is completely unreasonable and wrong. the expert press, you know, in the sort of automotive industry, take the automotive news editor at "automotive news" wrote a great article debunking the fire risk of the model s, because they know that the propensity of a fire is vastly greater in a gasoli

no matter what it is. >> reporter: kiet do, kpix 5. >> analysts will keep close watch on tesla stock when the markets open up in a couple of hours. since the first model s sedan caught fire, the value of tesla shares has dropped by 28%. >>> what do you if you were on a moving train and you noticed a driver is though where to be found? our mark kelly asked riders that very same question after a muni metro car left san francisco's castro station without an operator. >>> reporter: the wild ride started around 10:20 wednesday morning with about three dozen passengers on board. according to the mta, it started when the train doors at the castro station would not shut. the driver hopped out of his booth to check the problem but mta director john hailey says the driver forgot to do one very important thing. >> there's no evidence at this point that the emergency brake was used in the train. >> reporter: hailey says his team is now evaluating the computer system to verify not pulling the emergency brake was the single error the driver made. fortunately, passengers thought quickly pulling the

yes, tesla is there. when you look at ev sales in united states through september, the volt leads the way. and then the leaf. those are selling down between 25,000 and $40,000 range. then the model s at over $14,000. a lot of people will wonder, will the elr cut into the business of tesla? the model s is the top selling luxury car. not just electric car but luxury car selling for over $75,000. average transaction price for the model s, $93,000. want to show you shares of gm over tesla. you heard dominic chu talk about the selloff in tesla. gm is up. gm shares close to hitting their all-time high, which was back early 2011, the ipo happening in 2009 -- 2010. >> we want to see you drive away in that hot looking cadillac. >> yeah. how does it drive? >> reporter: it's a little crisper than the chevy volt. it's definitely a luxury car. no doubt about that. what stands out, you get instant acceleration that happens with all electric cars. i think there's a market there, but, you know, we'll have to see what hap

. >> another tough day for tesla. three people were hurt in a factory accident and taken to the hospital earlier today. this is video from our participation with abc7. the other two remain in the hospital with burns. this accident comes after three tesla cars have burst into flames in accidents in recent months. he spoke with the ceo of tesla who visited his employees at the hospital tonight. he answered important questions. >> reporter: within the last hour, elon muss being walked into this hospital directly behind me. he said he was concerned about his workers and also spoke about what happened today at the tesla factory. >> we had an equipment malfunction in the operation. so it's built of aluminum and that was the issue. i just wanted to make sure that they're okay and getting the best possible care and i wanted to come personally and make sure of it. two cases, it's more -- it's sort of hot metals splashed on them. in the case of kevin, it looks like that they should -- i'm guessing he will make a full recovery.

the three tesla fires mean only one in 6600 has burned. >> the data shows that the tesla car is probably six or seven times more safe than a gasoline eninjure car. >> this car is far superior than any car i have driven. >> reporter: tesla's greatest danger is more fires. >> tesla motors rebounded tot almost four%. shares up 4.51 to $126. imvesters appeared reassured by the ceo's defense. >>> on the agenda for tonight's city council meeting. the council will review a proposal increasing the hourly rate from one dollars to $2 an hour for meters. it would change enforcement times from 10:00 a.m. to 8:00 p.m. and make people pay for parking on sundays which right now is free. the goal is to reduce the occupancy rate so there is always spaces available. >>> just a few weeks ago, a neighborhood in san ramon hired a hunter to kill a dozen wild pigs. now they are back. and the problem is they destroy all the manicured lawns looking for food and threaten family pets and kids. the city is offering to pay for the hunter and considering putting up a fence in the area although it is unclear who will

working on. >> that's where gm is trying to outrun tesla, as tiny tesla drives the high end market, the model s goods for $71,000, gm is steering for the middle the road, with a broad range of hybrids, and an upcoming chevy impala that runs on natural gas >> as a market that we anticipated, and we're trying to come up with different product offerings to come up with a broader spectrum. >> the chevrolet volt came out in 2010, and it has a backup gas-powered engine. they're making the spark ev in korea. when they make that gamble on electric vehicles, they're no longer a niche business. but gm is hedging it's bets, with a fleet. they can match tess la's 480 range, making it 60 kilometers on electricity before the fuel powered engine kicks in. tesla can fuel in half an hour, compared to 6 hours with the volt. they will test it. >> it's still one step behind tesla, but for a full line manufacturer like gm, that's just fine. >> they have to look at what kinds of things do they do right now, and do they need to do it right now? it's okay for them to say, tesla is take the lead. it's not l

let's get straight to our top story and that is tesla. ceo said moments ago that there will be no recall of the model s despite three recent buyers. he also had this to say about the valuation of the stock. >> long term the value of the company will be well in excess of that. to give us that valuation now is to give us a lot of faith in our future execution. i was trying to be accurate. >> call me crazy. >> he is talking about it again. >> if he believes in being accurate, he is saying that he did not need that valuation at that point which is. >> tim:ing the stock down. >> as soon as you make that point, people started exiting it and we know why they exited and why he said it. >> here he is, at it again. you know where i stand on the company. not that he is not an inis know va tore but there is a couple 06 things going on. and we are assuming that there is no competition but my biggest problem is as a portfolio manager is who holds my stocks? this stock is now in the hands of retail players. >> let me push back on that. in july it was ad

you heard all of the press about tesla.chance to get it off your chest. >> i've been pistol whipped. >> three cars caught on fire. what's your response? >> the amount of national and international news headlines dedicate ed to three tesla fire that caused no injury is greater than all of the gasoline fires that occurred in the united states. >> it all of the other cars? >> from mid last year to today is about a quarter of a million gasoline car fires which caused about 400 deaths, something like 1,200 serious injuries. our three noninjurious fires got more national headlines than a quarter million deadly gasoline car fires. that's mad. what the heck is going on? i mean, i realize new technology should have a spotlight on it but it shouldn't have a laser on it. >> so when you look at tesla, the big concern many people have is scale. you're producing 30,000 cars a year. toyota is producing -- >> we're miniscule. >> millions. >> way too much attention. >> your market cap is almost as high as these car companies. >> yeah. >> do

tesla released only this brief statement. quote, there was a failure in a pressure aluminum casting press. three employees were injured by hot metal from that press. we're making sure they receive the best possible care. cal osha is investigating and will entail interviews with witnesses, checking safety records, and the equipment involved. we did see tesla cars on the test track this afternoon. the freemont plant manufacturers the model-s sedan. they have had a run of problems recently, three of the cars have caught fire. no one was seriously injured, but it has been a run of negative publicity for tesla. cal osha will complete its investigation of today's accident within six months. tesla's ceo is expected to visit the employees here at the hospital. >>> a san francisco police officer is suing the city in federal court claiming he was racially profiled during a traffic stop. lorenzo adamson says he was stopped because his license plate wasn't visible. one of the officers put a choke hold on him. adamson's suit claims excess

tesla was a major buzz kill after news of another model s fire. show the third reported tesla fire in the past six weeks. that news lowered today. it's now down 21% in two days, losing $4 billion in market cap in that time frame. let's bring in craiger win who has got a buy rating on the stock. >> the first was a piece of a semi truck that would have done serious damage to any vehicle. the second was two walls and a tree. and the third one sounds like the driver hit a trailer hitch. realistically is that people are burning the tires out too quickly because they are enjoying pressing the pedal. >> isn't there a risk of a sifty investigation? whether or not you believe tesla uniquely has a problem with fires that risk could be an overhang in the stock. >> they would hit any thing that big would have had a whole lot of damage. pretty hard to argue that that's not going to do a lot of damage out there. i wouldn't be surprised if they co-take a look to check all of the items off of their list to be sure that they are doing things that would preserve sa

there are only a few stocks that are as expensive as tesla, but tesla is valued at a cultish $18 billion level even as it might produce more than 20,000 cars this year. it's 20,000. as long as the cars are beloved and the company can meet the demand, tesla was going to go higher. if one thing goes wrong and it was batteries that led to fewer car sales that people were whispering about then it's all over but the shouting. a production problem being batteries, not a demand problem was responsible for tesla's sloppily execution. it didn't matter. given the fact that the stock had run up this year, there was no room for any hair at all in this quarter. even if it had to do with supply, not demand. especially when we were hearing that perhaps elon musk would surprise us with sales numbers of 7,000 cars or more. 1500 more than the company actually sold. people have been furious with me @jimcramer on twitter, any minute, people were furious when they said why didn't i declare that i like tesla the stock. no, i recognized it as a cult stock. i can't game a cult. today the kool-aid was laced with

we talked with the tesla c.e.o.recently and this is elon musk at the factory after three workers were hurt in an industrial accident. this morning he is speaking through a blog post on the tesla website lashing out at media for making the fires a bigger deal than he any they are. >> it is easy to assume the tesla model s and perhaps electric cars in general have a greater row pensty to catch fire than gasoline cars but nothing is further from the church and he said tesla is taking action including covering fire damage even if the damage is due to driver error. >> thank you. back to our storm watch coverage right now, the rain has been falling in the north bay and that is where amy hollyfield is in petaluma. what are you experiencing now, amy? >> yes, eric, we had a glitch because the equipment does not like the rain and it has been wet. we have made our way up through marin county all morning for the past couple of hours and we have had spotty rain. here is video of what we have spended this morning, going from thic

trouble at tesla.t 5:00 we're live with the accident that sent three workers to the hospital. >> muni on the move. how a train loaded with passengers managed to take off with no driver. >> i'm sandhya patel. live on the roof of the kgotv broadcast center. fog going to be a problem. details on that and how weekend weather will be different, coming up. >> more trouble for tesla tonight. >> good evening. >> three tesla workers in the hospital following an incident at electric car company's plant in fremont. abc7 news reporter nick smith is live outside of the santa clara valley medical center. nick, hot metal spilled on them. >> reporter: absolutely the call came in as a fire reported at the factory. and spokesperson told me they learned it was an industrial accident. all were brought here to the medical center. take a look at this video. from sky seven, we're there over the scene just after 12:00. and after that call to 911, reported an accident, at the fremont tesla plant. fire officials learn that had

the price fell to one hundred sixty four rebounding but the sell off of tesla triggered the exchange short sale circuit breaker which does not happen very often now check this out this is a video of a tesla model s. exploding there it is and this will give you an idea of what kind of looks like when the circuit breaker you know. went down earlier today i'm totally joking that's nothing what it looked like. you don't hear that here finally regulators are dropping like flies over the commodities futures and commodities futures trading commission bart chilton is the latest watchdog to announce his departure from the c.f. to see now the outspoken and colorful official says to leave his post at the end of the year since two thousand and seven shelton has served as the agency's most liberal commissioner and hits his surprise exit coincides with the agency's decision to propose a rule that he long champion for his so-called position limits which would rein in speculative commodities trading this is what he told r.t. last year about the difficulties he faced in implementing the rule. fortuna

. >>> new details in the case of tesla car fires. the public response from the ceo along with a formal investigation into the car fires. our business and tech reporter scott budman is live outside tesla showroom with the latest for us. >> reporter: a federal agency says today it will look into what is causes the tesla fires. meanwhile, tesla went online today to say it is working on a way to fix the problem with a little help from streaming technology. with the national highway traffic safety administration opening an investigation into three recent tesla model "s" fires, tesla's ceo elon musk took to twitter complaining about how much attention his company and the car fires are getting in the media. we asked tesla to comment on the fires and the attention, but it wouldn't. tesla did announce plans off camera to raise the suspension of the model "s" at high speeds and, thereby, increase the car's ground clearance via an over the air software update. and how does that work? >> i don't think that any other car is able to empb take step

i think it stacks up to the tesla. see if the people embrace it as well, but it could be huge for both company's stock. if the tesla has real competition, that could depress them. if gm begins to tap into that marketplace, they could be sailing too. very important launch. liz: yeah. and, you know, looking at -- down just about a percent be here, but general motors has come firing back, and some younger folks are buying these cadillacs. so this is sort of the beginning of the great new way, perhaps, with electric vehicles. the competition's always good. we've got that closing bell ringing in about 39 minutes. fed chairman ben bernanke getting ready to deliver a major speech about two huge issues for investors. we're telling you exactly what those issues are and what mr. bernanke is like to say, because fed policy moves the markets and your money. it will be just one of the topics in my exclusive interview with terry duffy,cme annual global financial leadership conference in naples, florida. such a parade of guests throu

tesla ceon an e-ml said he's heading to the hospital to make sure that his employees recei the be possible care. no coming u at 6:00 we'll look at tea's safet record and we'll take a look at their issues and fines for the company. reporting live in fremont, i'm cheryl hurd. >> such a high-profile company. the timing cldn't be worse for tesl les bring in scott budman. sct, this is part of atring of recent public relations problems. >> pr problems probably theest way to put this seeing fe trucks at t manufacturing plant today almost unlievable given what is going on with tesla lately. three insnces of model s cars catching on fire on veo and in the company's latest earning report concerns about the ability toeep up with dema fothe model s. all that taken together hitting tesla stock price which trend from $190 a share to today's cling price below140 a share. now, cars do catch on fire and tesla ceo w able to cm inveor fears by denying plans for a recalof the model s. but for a cpany thas been used to success after success and for investorsho have enjoyed a year of extremely strong gains, it'

sale circuit breaker which does not happen very often now check this out this is a video of a tesla model s. exploding there it is and this will give you an idea of what kind of looks like when the circuit breaker you know. went down earlier today i'm totally joking that's nothing what it looked like. you don't hear that here finally regulators are dropping like flies over the commodities futures and commodities futures trading commission bart chilton is the latest watchdog to announce his departure from the c.f. to see now the outspoken and colorful official says he'll leave his post at the end of the year since two thousand and seven shelton has served as the agency's most liberal commissioner and hits his surprise exit coincides with the agency's decision to propose a rule that he long champion for his so-called position limits which would rein in speculative commodities trading this is what he told our team last year about the difficulties he faced in implementing the rule. fortunately we've been slowed down there have been delays here and there from capitol hill at the agency i

. >> new this morning, tesla ceo elon musk is ordering big changes to itsodel slectric cars following three high profile battery fires. bob sin fremont. what iin store for the company? >> good morning to u.noced two a bl he posted on his weite, tesla c elon mk believes and says that the media cerage of the fires that involving his model s electric vehicle has been overblown so in this blog heries to set the record straight in announcing th changes to its product. to reassure customers that the cars are safeo drive and when compared to gas powered cars are much less likely to catch fire. first, mus says his company put out a software update for the airuspension system i the slightly, giving it gater e car ground clearance making it less likelyo hit debris that cod

>> i do not own a tesla, no.he stock, i have a short position in it so we'll see who's right. that's what makes a market. >> i mean he's saying he feels fundamentals will catch up to the stock price. you think the stock price is going to come back down to more accurately reflect the fundamentals, i guess >> that's exactly what i think. i think that the fundamentals of the company going to take five years for them to catch up with where the valuation is at and this stock does not trade on fundamentals. it trades on momentum, belief, hype and in the beginning, you know, that's on the way up that's a fantastic place to be but the hangover in this party is going to be very, very strong as we go forward in time and people are going to get hurt being long. >> all right. good discussion, guys. >> thanks, gentlemen. >> thank you. that's what makes a market. >> that's what makes a market. this market is red hot and on wall street today the dow up 118 points at 15,736 with just about 30 minutes before the close. >> when we

i assume the guy has a new car, tesla offered him a new deal on another one.e meantime, this is a serious issue with toyota, gm, any manufacturer, they would call them on the carpet and basically draw and quarter them in front of the press, congressional hearings and went tesla, they let it go. so 10 days later there's another car that catches fire. in this case it's something that happened and they hit a wall. but your car is not likely to blow up. this car burned to the ground and there's no safety recall or checking to se what is going on, this is any other manufacturer that you can have a recall for. >> usually what they complain about is a technical service bulletin and then tat national traffic highway safety administration says this is a safety issue that we need to investigate and have a recall or the manufacturer has been so proactive and there has been minor little things and you will see for gm and chrysler, saying that we have this and we are going to put this recall and effect and we really want consumers to have confidence in the quality control.

more effective if it were lowered from six point five percent to five point five percent elsewhere tesla is down their stock is down twelve percent today after the company reported disappointing q three earnings tuesday tesla reported a third quarter net loss of thirty million dollars or thirty two cents a share that short of analysts expectations of positive earnings of eight cents a share now tesla delivered a record fifty five hundred model s. luxury electric sedans that's more than the five thousand that c.e.o. iran must have previously forecasted would be delivered but still fewer than some wall streeters had expected this quarter tesla intends to increase production of its popular model s. in order to meet rising demand for the car both here in the u.s. and overseas now tesla opened trading on the nasdaq today at one hundred fifty five dollars a share and the price fell to one hundred sixty four rebounding but the sell off of tesla triggered the exchange short sale circuit breaker which does not happen very often now check this out this is a video of a tesla model s. exploding ther

they are having more problems with tesla. >> yeah, the third fire in one of these tesla new sedans. the model s. the shares came off 7.5% yesterday. they came off 14%. people are nervous about this one because it's come so far. take a look at where it was trading one year ago. it was trading just under 30 bucks. stock is now trading, even with the force of the last two days at $139. it is up, year to date, 313%. >> depends on where you bought it or sold it. have a wonderful weekend. we appreciate it. >>> twitter has a great day being on the stock market. tesla dealing with problems. facebook, a $115 billion company changed the like button s a bit. which company, i love this question, which company do you think will be most relevant 15 years from now. use the #waytooearly. >>> they were delicious while they lasted. fda will move to do what other restaurants have already done, cut out transfats across the board. the ingredients are in frozen pizza to coffee creamers. it's harmful because it raises the risk of heart disease, increases bad cholesterol and lowers the good cholesterol. he

but toyota is not a darling, tesla is. better late than ever?at about there are favorite technologies that politicians cannot resist, electric cars oras or, alternate fuel cars are just that. they want to look the other way sometimes. this car has problems. neil: blaming media for this. three model s fires, which only occurred after very high-speed collisions, caused no serious injury or deaths received more nag ale headline than all -- gasoline fire combined. -- all i know that toyota just has to have an ashtray that does not close properly. i know, the stock was soaring, he was soaring, now it is going the other way. do you think he has a point or no point? >> i don't think he has a pnt. kind of scares me about these fires with the tesla, they were started with something called road debris. i don't know if that is falling fall leaves or twigs on the road, the idea of that starting a fire is alarming to people who might top purchase the vehicle, the other idea there are fires with gasoline cars, when it gets struck, yes you can have fire, but r

why do you say avoid tesla? they're coming out with earnings this week, by the way. >> these stocks whether it's tesla or netflix, linkedin, these stocks all sell for over 100 times next year's earnings. so you have to have some very aggressive, positive assumptions for some period of time in order to justify those valuations. i think that's a high risk kind of area for the market, and i wouldn't want to go near it. i suspect if we do get a pullback, these stocks will pull back more than the overall market, and so i think there's much better values in the market. this is the froth of the market, and the twitter ipo might just feed further into it. so i'd be take taking gains if i had them and redeploying that money elsewhere. liz: howard, we're going to put your widely-held names and the ones you're picking at our facebook.com/lizclaman? i always forget. howard, thank you so much. you've got a great report. cam go investors growth equity chief investment officer. >> thanks, liz. liz: we're about 49 minutes away

but this morning tesla shares are up by about 1%. stock market trying to hang on to a couple of benchmarks yesterday was unable to do so. the dow making another run this morning at 16,000. let's look at the big board. the dow is down by 1 after coming close again and the nasdaq is lower by 8 points. s&p above 1800 a bit yesterday now it's down by 3 points at under 1790. frank and michelle back to you. >> jason brooks from kcbs news, thank you. >>> 6:44. time for traffic on this tuesday. liz, take it away. >> lawrence's hi-def doppler has been tracking some light rain in parts of marin county including along 101. we are actually seeing a number of accidents now pop up. this one is in corte madera southbound 101 approaching tamalpais drive. chp tells us just minor injuries. but five cars are involved. maybe blocking lanes. our sensors haven't picked up any slowing yet but, of course, that could change if you are heading southbound just a heads up there. otherwise in the south bay also some problems northbound 101 approaching alum rock.