[rtkwe]

Only if they have to issue new stock to cover the conversion. I imagine the company has these shares in reserve.

[bryanlarsen]

"Outstanding shares" in the definition of earnings per share et al only count shares held by shareholders, not shares held in the treasury. So it is dilution whether the shares came from a reserve or new issuance.

[clairity]

based on a quick peek at their financials, it seems tesla has zero treasury stock in reserve, so the conversion would be fully dilutive.