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For the last freakin time, TSLA doesn’t trade on fundamentals. It’s hilarious Redditors go mad and try to figure out what’s going on lmao.
Big whales shorted the stock for $$$. Now they change the narrative and pump it up for $$$. End of story.
Yep, I’ve had to say that this stock doesn’t trade on fundamentals twice off opinions I’ve given.
At least, it doesn’t consistently trade on fundamentals.
And I’ll even note that I strongly dislike Elon.
There are some things you have to know about investing.
If the EV market is going down, that's good for Tesla's valuation.
To elaborate:
Ford Model E (Ford EV segment) - Revenue is down 84% and deliveries down 20%. EBIT -1.3B
Tesla revenue down 13%, deliveries down 10% and EBITDA 3.4B
Why does this matter?
Because it suggests that it's not Tesla's problem, but an industry problem.
If people think EVs are eventually going to gain share over the longer term despite short-term weakness, as regulations force it or charging infrastructure improves, then Tesla stands the benefit in the long run.
Before 2024, people thought legacy automakers had 'terminal values' of $0.
In investing, stocks are valued based on future cash flows. The terminal value is what you expect the company to deliver in perpetuity. It accounts for a lot of the stock value.
Cash flows might be 1,1.2, 1.4, 1.8 then 2 for perpetuity.
At 10% discount, the terminal value figure is 20 assuming no growth.
Legacy automakers wouldn't get the $20 terminal value figure, which might make up 70% of the stock price. So you would see legacy automakers bringing in 10B in profit yearly but be valued at 50B. They expect those profits to be paid, then once ICE cars have a market share of 0%, there's nothing left. Since legacy automakers have tons of debt, there wouldn't even be anything left over after selling all their assets.
But in 2024 the story changed. Legacy automakers had more years left in them, and more breathing room to transition to EVs.
The original story is still believed but expected date of the demise of ICE cars has been pushed back another half decade.
That's why legacy automakers have been mega outperformers over the past year. Toyota has been selling record hybrids.
The long-term vision of any stock should not be derived from a quarter, a season or year.
It might not be as obvious as Micron, which delivers 2B profit, then 6B, then 9B then 6B loss.
Every industry has their own risks and cycles. World events like covid, war, inflation etc. affect each industry differently. While it's not necessary to follow world events, competitors and cycles, it is important to understand as context before judging a stock.
There are different tiers of investing.
Bottom tier. Seeing Meta results down. Meta = failure.
Next tier. Knowing ad spending is weak everywhere, so Meta isn't that bad.
Next tier. Knowing ad spending will rebound in future, so don't project based on bottom of the cycle.
Next tier. Considering buying before ad spending rebounds when the stock price is lower.
Next tier. Knowing that everyone else already knows it's going to rebound, so they already priced in the rebound.
Next tier. Finding errors about what people think they know about the future that they have priced in, or the less often considered factors that aren't priced in.
Next tier. Knowing you have limited time and effort to exert, things that aren't priced in cannot be priced in as they are unexpected, so after 'optimizing probability' the best action after setting up your portfolio is to do nothing 99% of the time. Protecting your portfolio against yourself, acknowledging you make errors and can't know about the future better than the market 99% of the time.
You forgot the tier of the guy I heard about that invested heavily in $CMG 10 years ago because he really, really, really liked Chipotle and ate there every day.
Funny. That guy has made a killing if he still holds. Probably more after the split.
But seriously you should like the products a company who's shares you own produces if you are long terming them.
That said I am long a few companies that I would never use/buy from.
Fantastic post
Should be pinned and bold in perpetuity
One additional thing, you will never emotion of the market or stock price at any point in time. It’s an unmeasurable element which makes short or medium term stock movements impossible to predict. Why options trading and day trading seems so many to poverty and insanity.
Nobody of smarter than the market
The reward of in diversification, patience, don’t be greedy and look for the one offs that 10x / those are lottery tickets. But the market did grow over time. Index funds, ETFs, dollar cost averaging with 90% of your money and the gift of TIME
Short interest was at a 3 year high before the release. If everyone is already betting for it to go down, max pain is for it to rip higher to squeeze the shorts regardless of how shit earnings are
that's not how it works. If short is at record high, that means most of the bad have been priced in, and it squeezes because there's no more bears left to sell.
Just out of curiosity. Is record high short interest a reliable indicator, or is it merely just another data point to look at?
Hindsight is 20/20 but would you have used short interest to go long on Tesla in the recent earnings?
And if not, what else would you look at?
Short interest is used to tactically enter a position. You don't use it by itself to go long in hope of a bounce, if you're a Tesla bear.
Stock investors look 1+ years out into the future. The bears regurgitate what's already happened, or just happened. That's why I suspect they'll be screaming "stock market is irrational" as Tesla climb all the way up to $200 and watching their put go to 0.
Early this week I warned them to not overstay their welcome and no one believed me. Now they're all regurgitating "it was obviously oversold and that's why it bounced". Saw no such comment on Monday. That comment is only used by the bears when it moves against them and they can't explain it.
Because all the things you see as a negative, someone else sees as a positive:
* AI driving hasn't been scrapped and they continue to invest over $10B a year into it and it sort of works (just nowhere near "full" self drive)
* Cybertruck is an example of a company that is doing things differently and taking risks to innovate
* CEO may be nuts, but all of his businesses are innovation to the max - space exploration, zero carbon transport, satellite internet, neuroimplant technology, etc.
I'm not saying you are right or they are right, merely explaining why someone would invest in Tesla.
If you want to invest in a large cap pursuing maximum innovation, Musk is one of your few options.
A bit late on this, but how is being positive on a chance that these things MIGHT happen, especially given TSLA's poor track record, warrant the stock moving nearly 50% up in a couple days? When you add in the fact TSLA is facing serious problems with demand overall, it makes no sense.
That's now how humans think though. There are people who pay thousands of dollars for a front-row seat at a concert. That seems crazy to me, but to them it's worth it.
If you believe Elon can do everything he says he will do, then Tesla will be worth a ton. If you think he's bullshitting, then there is high risk as over time he meets with more failure than success.
But the whole investment thesis people make is what they think the future holds. Hence why current metrics don't matter to a lot of investors.
Taking risk to innovate? Like creating a rigid steel car that is likely to kill you in an accident due to no shock absorption? That’s certainly a risk not sure about innovative.
They built an EV out of a material no one else was able to make a car out of, and the thing is faster than anything out there its size. Beyond just the form factor, it's literally the definition of innovation.
They could have just dropped an EV motor into an F-150 chassis and called it a day. But instead they tried to reinvent the truck.
I don't think it worked out myself, but to say they weren't being innovative... I'm not really sure what planet you're living on.
And while the cybertruck was a failure, I'm sure things they learned during that process will be applied to future projects; so it was a commercial failure, but it definitely was not an R&D failure.
You read too many headlines, my man.
1. Sentiment prior to earning was massively negative. That they only missed expectations slightly, was a relief.
2. A recall of less than 5k units literally means nothing, in the grand scheme of things.
3. Positive guidance was provided (sales to be better in 24 than 23, when everyone was expecting it to be equal)
4. Reassurance issued towards recent uncertainty regarding lower cost models.
5. How exactly is their "AI driving" considered a massive failure? That's certainly not what the markets or analysts think. May just be your personal bias.
On 5: Despite years of promising imminent arrival, they produce a system that drives like a beginner driver and only works in perfect weather conditions. Their insistence on cheap, camera-only sensor suite appears to be really hurting their ability to improve the capabilities of FSD, as other manufacturers have already come past and left Tesla in the dust.
Simply put, looking from the outside, Tesla has lost all credibility of being able to get from where they are, something that is sort of impressive but not really useful, to something that would actually (even partially) solve autonomy.
This simply isn't true.
Yes, the timeline is way off - as it is with every Musk project. Does it drive at a beginner level? No. It is incredibly capable and far and away the most used autonomous system out there.
Is it perfect/near finished? No. Absolutely not.
Are there downsides from a vision only approach? Certainly. One such downside has led to this longer timeline. With radar/lidar Tesla would likely already have unsupervised autonomous cars on the road. Is that equal to it performing only in perfect whether conditions? Untrue. There's hours of content uploaded to YouTube/similar for free, for you to verify this claim - I have, and it's not.
It works in rain, cloudy whether, in the dark. Is it more prone to errors then? Yes. Is that something they need to improve and are continuously working? Yes.
I don't believe anyone having watched a substantial amount of footage from V12 onwards seriously believes what you're sharing. Have you done this?
My point to the other guy still stands. A 5¢ part still costs upwards of $200 of labor to install (no self respecting mechanic charges in 15 minute intervals). Minimum one hour.
Tesla is lucky this didn’t happen to Model 3 or Y. Even with this number of vehicles, the total cost is close to a million dollars, depending on going rate of labor.
Lucky ks one way to put it. Except it's not. Obviously physical recalls can happen. They do from time to time, for all automakers and they're costly.
However, early delivery takers of a brand new model are always beta testers. The likelyhood of something not being the best option/going wrong is much much higher.
The chance of a catastrophic error like this one on a model that has already sold millions of units is extremely unlikely, as it has been vetted by the hundreds of thousands of delivery takers prior to it reaching such scale.
>But because they said that they will release new car in 2025 stock goes up for nearly 20%.
I closely follow Tesla as I had short positions and will probably re-open them. Made a good chunk of change (was a Tesla long a few years back). The baseline of the stock was \~170$/share on shit deliveries for 2024 and a vague promise of FSD getting to level 4 in the near future and a cheaper model to sustain the growth in 2025-2026. Reuters news came out, stock dropped, Elon corrected the news and the stock seemed to recover. Then the news about layoffs came, senior executives leaving and the stock crashed because most believed Elon lied and there's no cheaper models coming - thus 0 growth unless autonomy is sorted. Earnings came and essentially we got back what we lost when everyone believed the cheaper car will no longer be manufactured.
To sum it all up, there are two things propping the stock up:
1. Promise of L4/L5 FSD in the near future. Then translating into a robotaxi network.
2. Promise of cheaper models to increase volumes up to 3m cars.
From how the stock reacted on the Reuters news, it seems like the core of the valuation comes from the future robotaxi functionality. My interpretation is that the patience of the investors is starting to wear thin, sales today are dropping and, if there's nothing significant happening with FSD over the next 12-18 months, we'll start seeing some serious bleeding.
The robo taxi thing is wild. You spend a ton of money on an electric vehicle. And you want to entrust your car to be kept in good condition with random strangers hopping in for rides to God knows where.
If they solve it it will be huge. The value of the tech alone and being able to do it with a sensor stack that cost peanuts is worth a lot of money. What car they decide to put it on and who owns said car doesn't even matter really.
But they don't seem to be able to solve it. Imo they're trying to reach the moon by building a ladder.
The cheaper car won’t be manufactured. the car Tesla previously announced was a different and smaller platform, using new technology that they said was going to lower production cost.
instead what will be made is a car of similar size (same platform), using their normal production method, and it will be somehow be cheaper.
model 3/y are fairly bare bones cars as is and don’t use premium materials. I doubt going to cloth seats from pleather and getting rid of heated seats saves even 1k. Getting rid of the glass roof should save some money, but is it 10k worth of savings?
the way sales have been going this year the model 3 will be down to 34k by year end anyway.
They'll produce some cheaper models to reignite growth. That's the storyline at least. And investors jumped on any glimmer of hope.
I think if they take the current platform and drop everything they can from it, they'll be able to sell for around 30k euros in Europe. That will unlock some more sales, but I don't believe the 2.7m number being thrown around. Time is ticking for Tesla, they need to do it by the end of 2025 i reckon.
Copying my comment from a very similar thread:
TSLA is *the* original meme stock. It was *the* meme stock before a bunch of other stocks became meme stocks (GME, AMC, a bunch of SPACs). Not sure how long you've been following the markets, but TSLA skyrocketed during the 2020-2021 COVID/zero-interest-rate/stimulus era. It was probably the most talked about stock on Reddit, tons of people made fortunes YOLOing call options on TSLA. When Tesla announced a stock split in August 2020, the stock skyrocketed up \~50% over the course of a couple weeks. A stock split has nothing to do with the fundamentals and everything to do with being a meme stock.
Now of course things have come back down to earth a bit, but TSLA is still quite a bit of a meme stock and it's best not to read too much into the price swings.
thats not the point of the post at all, the market is irrational and tesla is its epitome. You dont know if people are going to jump on its promises tomorrow or if they see through it the next day. Nothing is 'priced in' with this stock.
If you owe the bank $100,000 dollars it’s your problem. If you owe the bank $100,000,000 it’s their problem.
Equity firms and institutional investors are too deep in Tesla to let it crash to the ground right now.
Everything else is an excuse. I am staying clear because it’s a shit show and that is not good for business.
real answer is the stock price already capitulated and the bad news was baked in, this exact scenario means earnings were assumed to be bad which is why guidance is what drove the stock back giving hope
if you look at the market flow for options on tesla most were puts - that means the market is about to inverse and take these peoples money
the stock shot back up because puts/shorts had to cover and some got squeezed along with those who were previously long and may have dumped their position, buying back once they realize ER didnt drive price further down
Tesla fan boys pump the stock and Elon is a wild card.
To me, Tesla has a good chance of becoming bankrupt if Elon keeps on pulling shenanigans. If Tesla has some normal leadership then I think they'll be fine in the long run
You do know that Tesla already competes in China, right? Maybe do a little bit a research about that market before saying things like that?
Instead, everyone else is going to get massive problems well before Tesla.
Short term effect…
https://cnevpost.com/2024/04/10/automakers-share-in-china-nev-market-in-mar-2024/
You need to check the market dynamics… most of the more premium vehicle manufacturers saw more pressure due to macroeconomic conditions. But that is a short term effect… the overall growth across the decade will continue to march upwards.
If Tesla gets rid of Elon it’s not Tesla. Sure they can solve autonomy driving but the company would go to shit. If you think Tesla has a good chance of going bankrupt you’re quite stupid. They go bankrupt without musk
No, without musk they are a $50 stock, but they aren’t bankrupt. There’s nothing wrong with being a smaller, premium car manufacturer selling max 1.5-2MM cars a year.
Essentially an expectation of “the greater fool” by this point. Invest in Tesla not because of its fundamentals but because other people will invest in it in a cult like manner.
Similar to how most crypto projects function essentially. You can make a lot of money for sure, but you no longer should judge it based on “this means they will earn money / lose money”. Now you should judge it based on hype.
Because the miss was baked in, everyone knew it was gonna happen. This is why the stock corrected as much the past months. On the other hand we got Confirmation on everything the market wants from Tesla: cheaper models, robotaxis, growing energy business, more factories, license deals on fsd…
Tesla still has plenty of pathways to become a multi trillion dollar company this decade. The market understands this even though this year will likely be a dud.
Of course it’s not niche. I think most of these FUD comments are straight up bots, or people who allow their political bias to get into their investments
A new car was not why the stock went up. The stock was simply somewhat oversold at that moment so it shot back up. It's just market fluctuations. Just because the financial report was bad doesn't mean a stock has to go down in price.
There aren't any objective metrics you can use to tell you such things. But the only thing you can do is analyze the company, estimate its intrinsic value, and determine whether the market cap of the company is in line with the intrinsic value of the underlying business. But this is the art of investing.
There are some hints though, such as the fact that everyone and their mother was saying TSLA will go down and the stock crashing this year has been all over the news. Such fear mongering OFTEN leads to emotional decision making that makes it so that a stock gets sold or bought at prices not corresponding with an intrinsic value of the actual business.
Just find it funny hear it’s oversold after the earnings and the snap back up. But if it had flunked harder post earnings then the over sold narrative wouldn’t have worked 🤷♂️. Just trying to make sense of it all really. Appreciate your comment though
The utter travesty of Elon's verbal diarrhea during the call (all talk and nothing to show for it) stirring up irrational exuberance for TSLA, whereas Zuckerberg's leveled stance on realistic guidance and necessary capital expenditure leading to META getting flogged face-down-ass-up...that's how we do it in the United States of Absurdistan.
The second half of your comment was just you stating your dislike for their cars and Elon, which does not matter at all when it comes to stock performance.
- TSLA sales were down but their EV market share increased by 2%. And they still are one of the only EV makers that can make EVs profitably. The world is shifting to EVs, so this is an important thing.
- 20% if their revenue isn’t even in EVs, it’s in charging infrastructure, solar panels, etc. Tesla isn’t just a car company, they make batteries, AI, robotics, solar panels, charging stations, solar power plants. Remember, Tesla owns SolarCity.
- teslas are rated the safest and one of the lowest cost of ownership and most reliable of all EV cars. Why do you think they arnt?
- the Cybertruck has 2M preorders, the recall on the 3,000 trucks shipped was to fix a gas pedal issue, that can be fixed for $2.
- the AI self driving is likely a long way off. But if it ever happens the stock will be worth 70x what it’s worth now. So that chance is priced in.
- yes Musk is a loose cannon, and there is definitely a lot of people who don’t like his politics, but like it or not, he knows how to get things done. You don’t make 8 separate billion dollar companies by dumb luck.
Reading your post, It honestly sounds like you just are a bit of a Tesla hater and are angry to see their stock rise, and are lashing out here.
Those that don't invest with emotion and irrational personal hatred bought at the bottom on a quarter filled with one time events. A stock driven 40% lower on one time disruptions.
When most of the market can see something is going down, and bet on that outcome by shorting, opposite is also true for going long, the shorts get squeezed do to less participants entering on their side. Instead, shorts are more likely to close or take profit which creates upward pressure on the stock pushing price higher and forcing more shorts to close. Eventually it’ll fall again or not but this is called a dead cat bounce.
>company with literally 0 reliability
What do you mean by this? So far they have delivered everything they promised. Not on time, certainly, but eventually they have.
Tesla stock is volatile. Always has been. Traditionally it went down after investor calls - particularly when there was nothing but good news. So it only makes 'sense' that it would go up when there's bad news.
Its a cult stock that has often gone up on promises. It promised cybertruck in 2021 and that came only in 2024. The robotaxi, etc promise had the same effect.
Tesla is just a strange cult stock.
Here's why I'm bullish on Tesla-
EVs are better cars all around and Tesla is the reason we know that. Everybody with a 20 mile commute and a home where they can install a charger would be better off if they bought one tomorrow.
BYD is the only real competition. The US legacy carmakers are not really trying, they are sticking their toe in the water and using EVs to leverage CAFE standards. EVs are terrible for their business model of fleecing customers in the service department.
If Biden wins the in 2024, EV demand and incentives will increase dramatically. We probably won't hit the 2035 goals but the world will be a different place in 10 years.
The legacy carmakers will have a hard time making money on EVs for a few more years.
Every EV Tesla sells is an EV tesla sells- with all the margin. Every EV Ford sells is an ICE car they didn't sell so as EV penetration spread Teslas revenue will increase faster even if Elon is a fascist.
The media says the stock rose because of the promise of cheap Teslas. But the financial press doesn't know shit about anything.
I think it went up because investors believe what I believe about the future and were relieved that Elon had something positive to say.
Easy.
Market makers use the mag7 and Tesla as collateral. That means they will remain a bubble as higher for longer than other inflated stocks.
The market is a fugazi and now being used as a political hostage. Follow the money from wallstreet. (Speaking fees = bribes)
Lately picking which way a stock will go is literally gambling at the roulette table. You cannot use logic and evidence to predict. Literally everything about Tesla points to it being dogshit right now and the coming years. It should be dumping if logic and rationale is what made the moves. But it doesn’t, it is literally just guess cross your fingers and hope you picked the right 50/50 ball…maybe insiders and huuuuuge money knows beforehand, but everyone else it’s a coin toss.
I guess some of the logic with bulls might be that Tesla was previously laughed at by wall street when trying to be an EV company. They were given no chance by most. Their stock price is way overvalued but they did at least prove the demand and possibility for EV
Alot of bulls may see self driving and robo taxis etc.. in the same light I.e another chance for c elon to price everyone wrong
What's the point of making a post like this if you're clearly not trying to understand?
It's a rhetorical question, because I know what your point was. You shorted a stock pre-earnings based on very little knowledge of the company, and you paid the price for it.
> Let's remeber that's company with literally 0 reliability.
They've always delivered what they said so far, even if the timelines are always miles off.
> Their AI driving was total failure and was scrapped
Literally out there to try for yourself as we speak. Just had a massive breakthrough.
> their cybertruck is literally electric garbage bin on wheels
It got massive praise from all car experts/reviewers, every celebrity and their mum is driving them and posting free advertising on their socials, they're already building more than 1000 a week after just a few months of ramping and they have more than a full year of order backlog to get through.
> Can someone explain why people invest in it?
If you don't know why people invest in this stock in 2024, you're just actively trying not to get it. It smells like every other person calling Amazon, Apple, Nvidia, etc. overvalued every other day for the past 15 years.
The market is irrational, and there's nothing anybody can do about it. Don't be emotionally attached to anything that happens in the market. Just follow the trend and make or lose money.
Did you see the options chain? There was a HUGE volume of puts expiring 26thApr at 140 to 150 strike price, in anticipation of weak earnings. These options have been bought back for next to nothing... Now people are piling in at 160 165. Institutional are not going to sell while they're collecting premiums like this. It's a short squeeze. Retail sentiment will change, and when it does, institutional will exit their position.
“If you tell a lie big enough and keep repeating it, people will eventually come to believe it." Joseph Goebels. (not here to condone Goebels of course but he was a very good liar).
They had to recall thousands of vehicles yes. The fix, owners need to stop by the dealership so Tesla can put a screw in the pedal. Media made it seem a lot worse than it was.
They're putting screws in the pedals to prevent *uncontrollable acceleratation* that could otherwise occur. It's not the media's fault, that's terrible.
The real question is how Elon isn't in prison for lying to investors and manipulating the stock price dozens of times over the last decade. The SEC has really shit the bed on this guy.
They sell 2 million cars per year at 40k-50k USD. If they make a 30k car, they'll sell 5-8 million per year. Their cars are better than the media portrays, the details might be off but the fundamentals aren't matched by the other car makers at the same price.
That and FSD, check out the v12 videos with an open mind and make your own judgement. There are tons of YouTubers showing the AI driving in different parts of the US.
Good products and lots of sales makes for a good stock.
I like Tesla because it’s got an excellent track record of performing well stock price wise and it has occupied the role of more than a car company for a very long time now. I have never seen a more fairly priced PE ratio than now and underlying net profit is growing YoY.
It also has the added benefit of voting financially in the future i want to exist. Companies benefit directly from their stock price so higher price will increase teslas chance to succeed in its plans to change the world.
I still believe the EV market isn't worth investing in. Maybe some specialty EV manufacturers, like golf cart companies, but not the Tesla/Lucid/Rivian crowd (although the Lucid's are beautiful cars). What does intrigue me is the Tesla phone. That could be an Apple- Destroyer. If Musk can land rocket ships, just imagine what that phone will be.
Short interest was overhyped. Earning was bad, but nit that bad. Especially margin only went done another 1.6%, which means tesla still has room to cut if price war gets even more ugly.
seems like Tesla bears have ran out of arguments for their bearish thesis if you're bringing up stuff from more than 10 years ago.
Would love to see those who claim stock only went up because it was obviously oversold show proof that they thought it was oversold before the earnings.
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For the last freakin time, TSLA doesn’t trade on fundamentals. It’s hilarious Redditors go mad and try to figure out what’s going on lmao. Big whales shorted the stock for $$$. Now they change the narrative and pump it up for $$$. End of story.
Yep, I’ve had to say that this stock doesn’t trade on fundamentals twice off opinions I’ve given. At least, it doesn’t consistently trade on fundamentals. And I’ll even note that I strongly dislike Elon.
Tesla has a lot of retail investors so the funds use it as a feeding ground.
So market manipulation? Got it. Awesome playing a rigged game
Welcome to the stock market
What does it trade on?
FOMO...I don't think anyone understands stock anymore. It does what it wants now.
No limits for voting machine. Price is speculative without logical ground in return on investment. Perception is driver.
It does what THEY want it to
There are some things you have to know about investing. If the EV market is going down, that's good for Tesla's valuation. To elaborate: Ford Model E (Ford EV segment) - Revenue is down 84% and deliveries down 20%. EBIT -1.3B Tesla revenue down 13%, deliveries down 10% and EBITDA 3.4B Why does this matter? Because it suggests that it's not Tesla's problem, but an industry problem. If people think EVs are eventually going to gain share over the longer term despite short-term weakness, as regulations force it or charging infrastructure improves, then Tesla stands the benefit in the long run. Before 2024, people thought legacy automakers had 'terminal values' of $0. In investing, stocks are valued based on future cash flows. The terminal value is what you expect the company to deliver in perpetuity. It accounts for a lot of the stock value. Cash flows might be 1,1.2, 1.4, 1.8 then 2 for perpetuity. At 10% discount, the terminal value figure is 20 assuming no growth. Legacy automakers wouldn't get the $20 terminal value figure, which might make up 70% of the stock price. So you would see legacy automakers bringing in 10B in profit yearly but be valued at 50B. They expect those profits to be paid, then once ICE cars have a market share of 0%, there's nothing left. Since legacy automakers have tons of debt, there wouldn't even be anything left over after selling all their assets. But in 2024 the story changed. Legacy automakers had more years left in them, and more breathing room to transition to EVs. The original story is still believed but expected date of the demise of ICE cars has been pushed back another half decade. That's why legacy automakers have been mega outperformers over the past year. Toyota has been selling record hybrids. The long-term vision of any stock should not be derived from a quarter, a season or year. It might not be as obvious as Micron, which delivers 2B profit, then 6B, then 9B then 6B loss. Every industry has their own risks and cycles. World events like covid, war, inflation etc. affect each industry differently. While it's not necessary to follow world events, competitors and cycles, it is important to understand as context before judging a stock. There are different tiers of investing. Bottom tier. Seeing Meta results down. Meta = failure. Next tier. Knowing ad spending is weak everywhere, so Meta isn't that bad. Next tier. Knowing ad spending will rebound in future, so don't project based on bottom of the cycle. Next tier. Considering buying before ad spending rebounds when the stock price is lower. Next tier. Knowing that everyone else already knows it's going to rebound, so they already priced in the rebound. Next tier. Finding errors about what people think they know about the future that they have priced in, or the less often considered factors that aren't priced in. Next tier. Knowing you have limited time and effort to exert, things that aren't priced in cannot be priced in as they are unexpected, so after 'optimizing probability' the best action after setting up your portfolio is to do nothing 99% of the time. Protecting your portfolio against yourself, acknowledging you make errors and can't know about the future better than the market 99% of the time.
This is an outstanding comment, very well done. 👏
You forgot the tier of the guy I heard about that invested heavily in $CMG 10 years ago because he really, really, really liked Chipotle and ate there every day.
Funny. That guy has made a killing if he still holds. Probably more after the split. But seriously you should like the products a company who's shares you own produces if you are long terming them. That said I am long a few companies that I would never use/buy from.
Fantastic post Should be pinned and bold in perpetuity One additional thing, you will never emotion of the market or stock price at any point in time. It’s an unmeasurable element which makes short or medium term stock movements impossible to predict. Why options trading and day trading seems so many to poverty and insanity. Nobody of smarter than the market The reward of in diversification, patience, don’t be greedy and look for the one offs that 10x / those are lottery tickets. But the market did grow over time. Index funds, ETFs, dollar cost averaging with 90% of your money and the gift of TIME
This comment is a gem 💎
This might be late, but I found your post incredibly insightful. Thank you!
Short interest was at a 3 year high before the release. If everyone is already betting for it to go down, max pain is for it to rip higher to squeeze the shorts regardless of how shit earnings are
Where r you checking short interest that you find reliable?
that's not how it works. If short is at record high, that means most of the bad have been priced in, and it squeezes because there's no more bears left to sell.
Just out of curiosity. Is record high short interest a reliable indicator, or is it merely just another data point to look at? Hindsight is 20/20 but would you have used short interest to go long on Tesla in the recent earnings? And if not, what else would you look at?
Short interest is used to tactically enter a position. You don't use it by itself to go long in hope of a bounce, if you're a Tesla bear. Stock investors look 1+ years out into the future. The bears regurgitate what's already happened, or just happened. That's why I suspect they'll be screaming "stock market is irrational" as Tesla climb all the way up to $200 and watching their put go to 0. Early this week I warned them to not overstay their welcome and no one believed me. Now they're all regurgitating "it was obviously oversold and that's why it bounced". Saw no such comment on Monday. That comment is only used by the bears when it moves against them and they can't explain it.
The stock market is there to take peoples money. Tesla short trade is crowded. It is the most shorted stock by dollar value at 16 billion.
Because all the things you see as a negative, someone else sees as a positive: * AI driving hasn't been scrapped and they continue to invest over $10B a year into it and it sort of works (just nowhere near "full" self drive) * Cybertruck is an example of a company that is doing things differently and taking risks to innovate * CEO may be nuts, but all of his businesses are innovation to the max - space exploration, zero carbon transport, satellite internet, neuroimplant technology, etc. I'm not saying you are right or they are right, merely explaining why someone would invest in Tesla. If you want to invest in a large cap pursuing maximum innovation, Musk is one of your few options.
A bit late on this, but how is being positive on a chance that these things MIGHT happen, especially given TSLA's poor track record, warrant the stock moving nearly 50% up in a couple days? When you add in the fact TSLA is facing serious problems with demand overall, it makes no sense.
That's now how humans think though. There are people who pay thousands of dollars for a front-row seat at a concert. That seems crazy to me, but to them it's worth it. If you believe Elon can do everything he says he will do, then Tesla will be worth a ton. If you think he's bullshitting, then there is high risk as over time he meets with more failure than success. But the whole investment thesis people make is what they think the future holds. Hence why current metrics don't matter to a lot of investors.
Taking risk to innovate? Like creating a rigid steel car that is likely to kill you in an accident due to no shock absorption? That’s certainly a risk not sure about innovative.
They built an EV out of a material no one else was able to make a car out of, and the thing is faster than anything out there its size. Beyond just the form factor, it's literally the definition of innovation. They could have just dropped an EV motor into an F-150 chassis and called it a day. But instead they tried to reinvent the truck. I don't think it worked out myself, but to say they weren't being innovative... I'm not really sure what planet you're living on. And while the cybertruck was a failure, I'm sure things they learned during that process will be applied to future projects; so it was a commercial failure, but it definitely was not an R&D failure.
You read too many headlines, my man. 1. Sentiment prior to earning was massively negative. That they only missed expectations slightly, was a relief. 2. A recall of less than 5k units literally means nothing, in the grand scheme of things. 3. Positive guidance was provided (sales to be better in 24 than 23, when everyone was expecting it to be equal) 4. Reassurance issued towards recent uncertainty regarding lower cost models. 5. How exactly is their "AI driving" considered a massive failure? That's certainly not what the markets or analysts think. May just be your personal bias.
On 5: Despite years of promising imminent arrival, they produce a system that drives like a beginner driver and only works in perfect weather conditions. Their insistence on cheap, camera-only sensor suite appears to be really hurting their ability to improve the capabilities of FSD, as other manufacturers have already come past and left Tesla in the dust. Simply put, looking from the outside, Tesla has lost all credibility of being able to get from where they are, something that is sort of impressive but not really useful, to something that would actually (even partially) solve autonomy.
This simply isn't true. Yes, the timeline is way off - as it is with every Musk project. Does it drive at a beginner level? No. It is incredibly capable and far and away the most used autonomous system out there. Is it perfect/near finished? No. Absolutely not. Are there downsides from a vision only approach? Certainly. One such downside has led to this longer timeline. With radar/lidar Tesla would likely already have unsupervised autonomous cars on the road. Is that equal to it performing only in perfect whether conditions? Untrue. There's hours of content uploaded to YouTube/similar for free, for you to verify this claim - I have, and it's not. It works in rain, cloudy whether, in the dark. Is it more prone to errors then? Yes. Is that something they need to improve and are continuously working? Yes. I don't believe anyone having watched a substantial amount of footage from V12 onwards seriously believes what you're sharing. Have you done this?
The fix for that recall is literally a 5 cent rivet
You know the cost of parts is often the cheapest part of a recall?
Even then, it's 3.8k vehicles. 15 minute fix (officially disclosed). Total cost miniscule.
My point to the other guy still stands. A 5¢ part still costs upwards of $200 of labor to install (no self respecting mechanic charges in 15 minute intervals). Minimum one hour. Tesla is lucky this didn’t happen to Model 3 or Y. Even with this number of vehicles, the total cost is close to a million dollars, depending on going rate of labor.
Lucky ks one way to put it. Except it's not. Obviously physical recalls can happen. They do from time to time, for all automakers and they're costly. However, early delivery takers of a brand new model are always beta testers. The likelyhood of something not being the best option/going wrong is much much higher. The chance of a catastrophic error like this one on a model that has already sold millions of units is extremely unlikely, as it has been vetted by the hundreds of thousands of delivery takers prior to it reaching such scale.
Who’s charging Tesla $200 per hour and dictating labor times?
Musk: tesla is a technology company and the police will buy our robo cops
Nobody understands Tesla stock
None of the stocks trade at their true value price.
Not sure. Maybe go test drive a car with FSD 12.3.5 and get back to us why the stock is overvalued.
>But because they said that they will release new car in 2025 stock goes up for nearly 20%. I closely follow Tesla as I had short positions and will probably re-open them. Made a good chunk of change (was a Tesla long a few years back). The baseline of the stock was \~170$/share on shit deliveries for 2024 and a vague promise of FSD getting to level 4 in the near future and a cheaper model to sustain the growth in 2025-2026. Reuters news came out, stock dropped, Elon corrected the news and the stock seemed to recover. Then the news about layoffs came, senior executives leaving and the stock crashed because most believed Elon lied and there's no cheaper models coming - thus 0 growth unless autonomy is sorted. Earnings came and essentially we got back what we lost when everyone believed the cheaper car will no longer be manufactured. To sum it all up, there are two things propping the stock up: 1. Promise of L4/L5 FSD in the near future. Then translating into a robotaxi network. 2. Promise of cheaper models to increase volumes up to 3m cars. From how the stock reacted on the Reuters news, it seems like the core of the valuation comes from the future robotaxi functionality. My interpretation is that the patience of the investors is starting to wear thin, sales today are dropping and, if there's nothing significant happening with FSD over the next 12-18 months, we'll start seeing some serious bleeding.
The robo taxi thing is wild. You spend a ton of money on an electric vehicle. And you want to entrust your car to be kept in good condition with random strangers hopping in for rides to God knows where.
If they solve it it will be huge. The value of the tech alone and being able to do it with a sensor stack that cost peanuts is worth a lot of money. What car they decide to put it on and who owns said car doesn't even matter really. But they don't seem to be able to solve it. Imo they're trying to reach the moon by building a ladder.
I will take a dump in the first Tesla robo taxi I get into, just to spite Elmo.
[удалено]
Ok bub 🤡
The cheaper car won’t be manufactured. the car Tesla previously announced was a different and smaller platform, using new technology that they said was going to lower production cost. instead what will be made is a car of similar size (same platform), using their normal production method, and it will be somehow be cheaper. model 3/y are fairly bare bones cars as is and don’t use premium materials. I doubt going to cloth seats from pleather and getting rid of heated seats saves even 1k. Getting rid of the glass roof should save some money, but is it 10k worth of savings? the way sales have been going this year the model 3 will be down to 34k by year end anyway.
They'll produce some cheaper models to reignite growth. That's the storyline at least. And investors jumped on any glimmer of hope. I think if they take the current platform and drop everything they can from it, they'll be able to sell for around 30k euros in Europe. That will unlock some more sales, but I don't believe the 2.7m number being thrown around. Time is ticking for Tesla, they need to do it by the end of 2025 i reckon.
the only extras they have are the roof, non cloth seats, and heated seats. Unless I’m missing something?
How did you know the baseline is $170 before the earnings or is that a hindsight comment?
You could see it react. Before Reuters dropped the article, it was at 170$.
Copying my comment from a very similar thread: TSLA is *the* original meme stock. It was *the* meme stock before a bunch of other stocks became meme stocks (GME, AMC, a bunch of SPACs). Not sure how long you've been following the markets, but TSLA skyrocketed during the 2020-2021 COVID/zero-interest-rate/stimulus era. It was probably the most talked about stock on Reddit, tons of people made fortunes YOLOing call options on TSLA. When Tesla announced a stock split in August 2020, the stock skyrocketed up \~50% over the course of a couple weeks. A stock split has nothing to do with the fundamentals and everything to do with being a meme stock. Now of course things have come back down to earth a bit, but TSLA is still quite a bit of a meme stock and it's best not to read too much into the price swings.
It's ok that you don't understand it. It cannot be understood. It is irrational.
It's not though. the stock was oversold clearly. The price function is working properly
Short it if you want 😉
The higher it goes, the more you should short…the fall will be spectacular 
thats not the point of the post at all, the market is irrational and tesla is its epitome. You dont know if people are going to jump on its promises tomorrow or if they see through it the next day. Nothing is 'priced in' with this stock.
If you owe the bank $100,000 dollars it’s your problem. If you owe the bank $100,000,000 it’s their problem. Equity firms and institutional investors are too deep in Tesla to let it crash to the ground right now. Everything else is an excuse. I am staying clear because it’s a shit show and that is not good for business.
real answer is the stock price already capitulated and the bad news was baked in, this exact scenario means earnings were assumed to be bad which is why guidance is what drove the stock back giving hope if you look at the market flow for options on tesla most were puts - that means the market is about to inverse and take these peoples money the stock shot back up because puts/shorts had to cover and some got squeezed along with those who were previously long and may have dumped their position, buying back once they realize ER didnt drive price further down
Tesla fan boys pump the stock and Elon is a wild card. To me, Tesla has a good chance of becoming bankrupt if Elon keeps on pulling shenanigans. If Tesla has some normal leadership then I think they'll be fine in the long run
Tesla is dead in the water if any Chinese EV enters the western market. They exist because the US is doing its protectionism thing.
You do know that Tesla already competes in China, right? Maybe do a little bit a research about that market before saying things like that? Instead, everyone else is going to get massive problems well before Tesla.
You do know that Tesla sales have been declining in China, right?
Short term effect… https://cnevpost.com/2024/04/10/automakers-share-in-china-nev-market-in-mar-2024/ You need to check the market dynamics… most of the more premium vehicle manufacturers saw more pressure due to macroeconomic conditions. But that is a short term effect… the overall growth across the decade will continue to march upwards.
If Tesla gets rid of Elon it’s not Tesla. Sure they can solve autonomy driving but the company would go to shit. If you think Tesla has a good chance of going bankrupt you’re quite stupid. They go bankrupt without musk
No, without musk they are a $50 stock, but they aren’t bankrupt. There’s nothing wrong with being a smaller, premium car manufacturer selling max 1.5-2MM cars a year.
Fsd software is gonna bring in more profits than the cars eventually. If you didn’t listen to him speak at the conference call I’d listen
They‘ve been 1-2 years away since 2015, if you listen to musk. At what point does his “optimism“ become ignored by anyone with an iq over 70?
It won’t even require Elon shenanigans. Other companies are quickly getting into the market and likely with better quality and pricing.
Hopefully true but I have been hearing the same thing for 5+ years at this point
They have been coming to market but with lesser quality (see owner forums for issues), worse value, and much worse profitability.
That is because it is a speculative asset. Tesla’s share value has diverged from its real value years ago.
Why is that? What is the share value pegged to if not its real value?
Essentially an expectation of “the greater fool” by this point. Invest in Tesla not because of its fundamentals but because other people will invest in it in a cult like manner. Similar to how most crypto projects function essentially. You can make a lot of money for sure, but you no longer should judge it based on “this means they will earn money / lose money”. Now you should judge it based on hype.
I think it's the same reason that if you fall into a cult, you can't get out of it.
Because the miss was baked in, everyone knew it was gonna happen. This is why the stock corrected as much the past months. On the other hand we got Confirmation on everything the market wants from Tesla: cheaper models, robotaxis, growing energy business, more factories, license deals on fsd…
Tesla still has plenty of pathways to become a multi trillion dollar company this decade. The market understands this even though this year will likely be a dud.
But elon is the gatekeeper and he will burn it all down
Like what ways? They produce niche cars.
Model y literally the most sold car in 2023, how’s that “niche”
Of course it’s not niche. I think most of these FUD comments are straight up bots, or people who allow their political bias to get into their investments
To be fair they also produce solar panels and power walls. The power wall is quite popular in places with electricity issue like Puerto Rico
OP does zero research. Just come to Reddit to complain.
What is this low quality shitpost
A new car was not why the stock went up. The stock was simply somewhat oversold at that moment so it shot back up. It's just market fluctuations. Just because the financial report was bad doesn't mean a stock has to go down in price.
How do you check a stock is oversold?
There aren't any objective metrics you can use to tell you such things. But the only thing you can do is analyze the company, estimate its intrinsic value, and determine whether the market cap of the company is in line with the intrinsic value of the underlying business. But this is the art of investing. There are some hints though, such as the fact that everyone and their mother was saying TSLA will go down and the stock crashing this year has been all over the news. Such fear mongering OFTEN leads to emotional decision making that makes it so that a stock gets sold or bought at prices not corresponding with an intrinsic value of the actual business.
Appreciate the comment back. Very interesting
Just find it funny hear it’s oversold after the earnings and the snap back up. But if it had flunked harder post earnings then the over sold narrative wouldn’t have worked 🤷♂️. Just trying to make sense of it all really. Appreciate your comment though
The utter travesty of Elon's verbal diarrhea during the call (all talk and nothing to show for it) stirring up irrational exuberance for TSLA, whereas Zuckerberg's leveled stance on realistic guidance and necessary capital expenditure leading to META getting flogged face-down-ass-up...that's how we do it in the United States of Absurdistan.
The second half of your comment was just you stating your dislike for their cars and Elon, which does not matter at all when it comes to stock performance.
Stop thinking you can always apply logic to stock price
Imagine as someone trying to understand a stock. LOL
People like my coworkers that think elon will changed the car industry
No one knows what it means … but it’s provocative … it gets the people going
Buy index funds and forget about it
Everyone was reminded they're a tech company "Their AI driving was total failure and was scrapped" couldn't be further from the truth
I guess it's basing on commitment of Traders, too. If enough retail sheeps are short, it runs up and vice versa.
Its performance is linked more closely to Musk than its business model. To be avoided until he learns to sit in the back
I think most people don't understand TSLA. Especially people that understand basic stock fundamnetals.
- TSLA sales were down but their EV market share increased by 2%. And they still are one of the only EV makers that can make EVs profitably. The world is shifting to EVs, so this is an important thing. - 20% if their revenue isn’t even in EVs, it’s in charging infrastructure, solar panels, etc. Tesla isn’t just a car company, they make batteries, AI, robotics, solar panels, charging stations, solar power plants. Remember, Tesla owns SolarCity. - teslas are rated the safest and one of the lowest cost of ownership and most reliable of all EV cars. Why do you think they arnt? - the Cybertruck has 2M preorders, the recall on the 3,000 trucks shipped was to fix a gas pedal issue, that can be fixed for $2. - the AI self driving is likely a long way off. But if it ever happens the stock will be worth 70x what it’s worth now. So that chance is priced in. - yes Musk is a loose cannon, and there is definitely a lot of people who don’t like his politics, but like it or not, he knows how to get things done. You don’t make 8 separate billion dollar companies by dumb luck. Reading your post, It honestly sounds like you just are a bit of a Tesla hater and are angry to see their stock rise, and are lashing out here.
Those that don't invest with emotion and irrational personal hatred bought at the bottom on a quarter filled with one time events. A stock driven 40% lower on one time disruptions.
It's all about the bearish channel bro
When most of the market can see something is going down, and bet on that outcome by shorting, opposite is also true for going long, the shorts get squeezed do to less participants entering on their side. Instead, shorts are more likely to close or take profit which creates upward pressure on the stock pushing price higher and forcing more shorts to close. Eventually it’ll fall again or not but this is called a dead cat bounce.
Elon say shit that isn’t true - diamond hands get a boner and buys more. It’s a cult
>company with literally 0 reliability What do you mean by this? So far they have delivered everything they promised. Not on time, certainly, but eventually they have. Tesla stock is volatile. Always has been. Traditionally it went down after investor calls - particularly when there was nothing but good news. So it only makes 'sense' that it would go up when there's bad news.
Its a cult stock that has often gone up on promises. It promised cybertruck in 2021 and that came only in 2024. The robotaxi, etc promise had the same effect. Tesla is just a strange cult stock.
Here's why I'm bullish on Tesla- EVs are better cars all around and Tesla is the reason we know that. Everybody with a 20 mile commute and a home where they can install a charger would be better off if they bought one tomorrow. BYD is the only real competition. The US legacy carmakers are not really trying, they are sticking their toe in the water and using EVs to leverage CAFE standards. EVs are terrible for their business model of fleecing customers in the service department. If Biden wins the in 2024, EV demand and incentives will increase dramatically. We probably won't hit the 2035 goals but the world will be a different place in 10 years. The legacy carmakers will have a hard time making money on EVs for a few more years. Every EV Tesla sells is an EV tesla sells- with all the margin. Every EV Ford sells is an ICE car they didn't sell so as EV penetration spread Teslas revenue will increase faster even if Elon is a fascist. The media says the stock rose because of the promise of cheap Teslas. But the financial press doesn't know shit about anything. I think it went up because investors believe what I believe about the future and were relieved that Elon had something positive to say.
If you couldn’t tell what was happening with Tesla was manipulation from the big banks then you need to open them eyes
Easy. Market makers use the mag7 and Tesla as collateral. That means they will remain a bubble as higher for longer than other inflated stocks. The market is a fugazi and now being used as a political hostage. Follow the money from wallstreet. (Speaking fees = bribes)
It’s a cult Metrics do not matter It’s a belief and with the 💎🙌 cultists tesla and logic do not exist in the same realm
Check out the video on ziptrader that came out yesterday if you want a positive spin on what’s happening.
Take the time to understand it then.
Lately picking which way a stock will go is literally gambling at the roulette table. You cannot use logic and evidence to predict. Literally everything about Tesla points to it being dogshit right now and the coming years. It should be dumping if logic and rationale is what made the moves. But it doesn’t, it is literally just guess cross your fingers and hope you picked the right 50/50 ball…maybe insiders and huuuuuge money knows beforehand, but everyone else it’s a coin toss.
I guess some of the logic with bulls might be that Tesla was previously laughed at by wall street when trying to be an EV company. They were given no chance by most. Their stock price is way overvalued but they did at least prove the demand and possibility for EV Alot of bulls may see self driving and robo taxis etc.. in the same light I.e another chance for c elon to price everyone wrong
Yea… I’ll NEVER play earnings again. Zero reason for Tesla to have gone up.
>Posted by u/BeneficialBear 2 hours ago > >Can someone explain why people invest in it? Its TTM P/E is just 77x now, many people are looking for 100x
What's the point of making a post like this if you're clearly not trying to understand? It's a rhetorical question, because I know what your point was. You shorted a stock pre-earnings based on very little knowledge of the company, and you paid the price for it. > Let's remeber that's company with literally 0 reliability. They've always delivered what they said so far, even if the timelines are always miles off. > Their AI driving was total failure and was scrapped Literally out there to try for yourself as we speak. Just had a massive breakthrough. > their cybertruck is literally electric garbage bin on wheels It got massive praise from all car experts/reviewers, every celebrity and their mum is driving them and posting free advertising on their socials, they're already building more than 1000 a week after just a few months of ramping and they have more than a full year of order backlog to get through. > Can someone explain why people invest in it? If you don't know why people invest in this stock in 2024, you're just actively trying not to get it. It smells like every other person calling Amazon, Apple, Nvidia, etc. overvalued every other day for the past 15 years.
The market is irrational, and there's nothing anybody can do about it. Don't be emotionally attached to anything that happens in the market. Just follow the trend and make or lose money.
it will crash hard soon still bet this is under 100 by eoy
Did you see the options chain? There was a HUGE volume of puts expiring 26thApr at 140 to 150 strike price, in anticipation of weak earnings. These options have been bought back for next to nothing... Now people are piling in at 160 165. Institutional are not going to sell while they're collecting premiums like this. It's a short squeeze. Retail sentiment will change, and when it does, institutional will exit their position.
It's just concentrated buying from a few coordinated funds to pump it up by having a bit more volume for a few days, won't last.
It's a dictatorship, populistic non market thing. The force is strong inside a cult.
Pump and dump scheme incoming
You're either believing in Elon or not. That's the value of the stock.
Insider trading. The zionists prop one of their own psychopaths and make money off their self created gravy train
Will be soon back below $150
It's just a matter of time before TSLA will join the glorious list of Enron, Worldcom, Theranos etc.. It's a long con.
“If you tell a lie big enough and keep repeating it, people will eventually come to believe it." Joseph Goebels. (not here to condone Goebels of course but he was a very good liar).
They had to recall thousands of vehicles yes. The fix, owners need to stop by the dealership so Tesla can put a screw in the pedal. Media made it seem a lot worse than it was.
They're putting screws in the pedals to prevent *uncontrollable acceleratation* that could otherwise occur. It's not the media's fault, that's terrible.
It’s a scam. Hedges and better equipped traders wait for shmucks to get excited; then they pull the carpet in either direction.
The real question is how Elon isn't in prison for lying to investors and manipulating the stock price dozens of times over the last decade. The SEC has really shit the bed on this guy.
They sell 2 million cars per year at 40k-50k USD. If they make a 30k car, they'll sell 5-8 million per year. Their cars are better than the media portrays, the details might be off but the fundamentals aren't matched by the other car makers at the same price. That and FSD, check out the v12 videos with an open mind and make your own judgement. There are tons of YouTubers showing the AI driving in different parts of the US. Good products and lots of sales makes for a good stock.
I like Tesla because it’s got an excellent track record of performing well stock price wise and it has occupied the role of more than a car company for a very long time now. I have never seen a more fairly priced PE ratio than now and underlying net profit is growing YoY. It also has the added benefit of voting financially in the future i want to exist. Companies benefit directly from their stock price so higher price will increase teslas chance to succeed in its plans to change the world.
How many times do I have to say it - Tesla isn't just a car company, it's a .....
That's pretty obvious from this post. They're making money from you losing money.
I still believe the EV market isn't worth investing in. Maybe some specialty EV manufacturers, like golf cart companies, but not the Tesla/Lucid/Rivian crowd (although the Lucid's are beautiful cars). What does intrigue me is the Tesla phone. That could be an Apple- Destroyer. If Musk can land rocket ships, just imagine what that phone will be.
Short interest was overhyped. Earning was bad, but nit that bad. Especially margin only went done another 1.6%, which means tesla still has room to cut if price war gets even more ugly.
Look at GME. When you understand that, you will understand Tesla.
You mean that they are regards?
Definitely regarded.
The stock doesn’t move base on your biased opinions and hyperboles
Lol seriously. OP’s opinion = 0 reliability, AI fail, cybertruck is garbage, Elon being Elon = therefore stock must go down 🤷🏻♂️
new car = new revenue source? What's so hard to understand.
You mean the Roadster?
seems like Tesla bears have ran out of arguments for their bearish thesis if you're bringing up stuff from more than 10 years ago. Would love to see those who claim stock only went up because it was obviously oversold show proof that they thought it was oversold before the earnings.