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Tesla Becomes World’s Second Most Valuable Automaker

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Those numbers are facts, not headlines as you know. I don't think there is anything left to watch from this point since we're talking about the half-trillion dollar S&P500 company.

I'm not a Tesla fan or hater. My main point is the same. Tesla is a revolutionary car company, its value coming from the technology they have(I mentioned in my previous posts).
 
Sales are facts. Free cash flow is a fact. Price is not a fact, it's an opinion. An opinion shared by lots of insane people is still insane, no matter how many people agree on it.

A company that burns billions of dollars with $500 bn market cap, is still a cash burning operation. Same is true for NFLX and all other high-flying cash-burning hype tech stocks.

Tesla had a first mover advantage few years ago but it squashed it and all major car companies caught up to it with EV cars. Porsche's top selling model is the Taycan, an EV. Plenty of others already released their EV models which are cheaper, more reliable and actually built by companies that KNOW how to build cars that don't go up in flames every 2nd day.

Having said that I'm glad you made money @rowena and I hope for you that you'll know when to exit and take the profits off the table.

So far every Tesla buyer I talked to sounded like a 100% brainwashed cult member. Take all the 2017 crypto bulls and replace "Satoshi" with "Elon Musk".
 
Plenty of perfectly legitimate and successful investors have openly spoken in favors of both tesla and bitcoin, things have changed a lot in the last 5 years ...

Tesla is prone to becoming the next apple/amazon if they delivers, so far they have a perfect records of delivering.
They have beta level 4 autonomous self driving tech actually on the road being tested by customers, level 5 (no driving wheel) is expected somewhere around 2025. No other car manufacturers have this certainly not Porsche.
The EV cars where the headline for tesla over 5 years ago, now the value is in the self driving and battery tech.
There is nothing crazy or "brainwash cult member" crap in this.
 
Tesla may indeed do all that, I'm not disputing their tech. The problem is that the company is priced as if it already achieved all that and already dominates the world's car industry, which is far from reality. The potential future success of the company is already baked in the stock price, which makes it a very bad investment.
 
From Wikipedia : Giga Press - Wikipedia
"In April 2020 Elon Musk stated that the two biggest casting machines in the world had been purchased to enable casting the Tesla Model Y rear chassis and crash rails as a single component"

This is bit of a revolution in the manufacturing of cars in general, no other manufacturer had come up with this before now. This is a big saving and a huge gain for safety if I am not mistaken.
So far the Tesla cars have been praised for being the safest cars out there, tons of video shows Tesla car avoiding an accident using the basic self driving functionalities and all the sensors equipped on the cars.

Musk is very popular among engineers and Tesla attracts a lot of talents, they are driving innovation in an industry that has been stagnant and quite frankly lazy for decades now ...

Tesla is likely going to be the pioneer in autonomous robot taxis as soon as 2025, the potential implications of this tech on our societies is beyond most of everyone understanding ...

This is a recipe for a 2 trillions dollars company, which in 10-20 years will be 5-10 trillions if not more with the insane money printing going around ... The price now is undervalued as crazy as it seems, personally if I was not balls deep on Crypto (which I believe will perform better), I would be in Tesla.
 
Elon Musk claimed lots of things, most of them never happened.

Gotta say I love your portfolio diversification @nomad999 ... balls deep in Crypto and in Tesla. Good luck, you're gonna need it 😉
 
Diversification is for the weak, also I am not yet a multi-millionaire ... rof/%

Anyway you have admit there is a lot of incentive to still get in on Tesla even at this price and just by looking at the current facts, like burning billions in cash to build gigantic car and battery manufactories is rather bullish.

I didn't even mention the crazy green movement that all governments and their mothers are gonna adopt that will help drive the price up ... Wouldn't be surprised if Biden wear a green hat during all his mandate.

Whatever your opinion on musk, this guy took insane risk by putting literally all his money to create Tesla and SpaceX and so far its been a gigantic success, the like that will be quoted in history.
There is also Starlink that already have like 1000 satellites up and running and delivering internet to people under the current coverage.
I mean come on, the guy deserve some praise or at least good confidence for the future of his companies.
 
oh and the monumental stimulus that will be issued with Biden, where do you think that money is going ? smi(&%
and he's bringing back Yellen from the dead ... ahah this is the perfect planets alignment for Tesla !
 
The guy deserves a lot of praise for what HE achieved, but this is not relevant to the stock price.

You need to understand that Tesla can ACHIEVE everything it sets to achieve, and the stock can still crash just because of multiple depression (P/E multiple falling to the normal P/E).

Looking at the sales figures the other car manufacturers are killing Tesla's sales, at least in Europe.
https://www.zerohedge.com/markets/t...es-biggest-ev-market-july-registrations-crash
In order to justify their current price they will need to sell a Tesla to every person, child and rock on the planet. It's just not feasible.

It doesn't matter what kind of stimulus Biden will do or how many stocks\bonds the Fed will buy, Tesla needs to actually SELL cars in order to profit, and their sales are stagnant at best.

You should really look into their fundamentals. TSLA Stock Rating and Data | Tesla Inc - GuruFocus.com

Not only this, insiders and directors are DUMPING shares at an insane pace, selling all the time. So people that are actually FAMILIAR and INVOLVED with the company are all dumping shares but outside investors are loving it and can't wait to put all their money in it... It has "pump and dump" written all over it.
 
LOL I just noticed that Kimbal Musk is noted for selling 30k of shares multiple times... if Elon's own brother is dumping shares... I don't see why I should buy them. The guy is clearly more informed about the company.
 
I am super neutral on the Tesla trend, never planned to invest into this and I won't (I would agree with most people who say it's a bubble), but Elon is a genius, no doubt about it.

P.S. not only Tesla and SpaseX. Neuralink is a very promising project!
 
ok but that has been the narrative for the whole year and look where we are now ? +300% and Tesla will be included in the S&P500 ... after being rejected from it a few months ago !

Biden and Yellen are absolutely important for the stock market in general, this is very bullish and Tesla will just go higher with everything else. This could go on for another few years ... and whatever crash we get I do not believe Tesla will be the most impacted, people will rush to buy the dip before everyone else.

Seriously if the stock price was at all correlated to the number of cars sold we wouldn't be were we are now at all ... what do they say, "The market can remain irrational longer than you can remain solvent"
 
Good story about the power of holding the stock for the long term. He is a little bit lucky but still he is smart enough to see tesla is not a scam 😀
 
I'm getting strong 1999 vibes from this video

This is survival bias at its finest. There are thousands just like him that bet the farm on NKLA stock and lost their shirt
 
It is completely normal. Just because a company manufacturing EV doesn't mean the company going to be successful.

Also comparing Tesla & Nikola(or any other EV company) is a mistake. They're far different than each other. I tried to explain why Tesla is an innovative company a year ago in this thread actually.

The good thing is Tesla now one biggest company in the world and Tesla haters started to tired 😀
 
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