/biz/ - Business & Finance

im not buying shit for a while. the past month has been ridiculous.

Some good things for tesla is that as of the 2014 National Electric Code, outlets are require in garages for charging of electric vehicles. I know this doesnt seem like much but it allows more easy of use and maybe consumers will be more likely to buy in the future.


http://blogs.barrons.com/stockstowatchtoday/2014/10/14/tesla-time-to-buy/
If this article is true then Tesla is going at a good rate with good enough projections that it could be a good stock to purchase.

The models they offer don look like some weird design either so its not like they are going for a niche market either.

I am glad you brought this stock up as I will probably start looking more closely at it as a possible investment for myself.

>>517828
Ford is worth 14 dollars, Tesla is worth 240. Disparity much?
Tesla sells 30,000 units per year for all vehicles
Ford Sells 850,000 units of the F-150 alone per year.
Why is Tesla worth more than ford by 235 dollars? Oh wait, it's not.

>>517858
ford has 3.93 billion shares, tesla has 124 million.

3,170:1

>>517869
Elon Musk has talked about selling his stake in Tesla because he's worried about it's profitability. When the guy that created the company has basically called it a money pit, you can guarantee that the company is going nowhere....bu-bu-but muh gigafactory. Like that even matters if the market doesn't move toward Tesla. (which it hasn't)

>>517876
now you're moving the goal posts. first you compared 240 to 14 when its really 3170 to 1, now you're talking about musks intentions.

>>517880
Doesn't fuckin' matter, because the people buying Tesla are going to end up like bitcoin bagholders. Teh w4ve uf teh fLltur3. huurrrrrr

>>517882
yeah, it does matter. you can't look at ONLY the stock price when valuing a company.

>>517828

yes

Tesla, at the very least, will either go big or get bought out. In my opinion it's a very good investment as long as you're willing to wait 20 or 30 years for it to grow. I'd buy SpaceX stocks too if I could.

>>517884
LOOK AT THEIR FUCKING VOLUME. ITS FUCKING ABYSMAL. They move 30,000 units a year. That's nothing. That's not even competitive.

>>517887
i see them on the road.

the stock price doesnt matter though. if there was 1 million shares available, the price would reflect that. maybe you'll just never understand it.

>>517890
Shilltastic! Tell me more about the lord and savior Elon Musk.

>>517887

and they sell all 30k units, meanwhile the big three have entire fields filled with unsold stock

it's a new company, it's still small and mostly sells alongside lexuses for a niche market. However it would be safe to assume that their marketbase will grow along with their profits. All they have to do is make a car that can do what a corolla does for 10-20k and they'll become a lot more competitive

>>517880

3.93 billion * 14 = 55 billion
124 million * 240 = 29.76 billion

Ford PE: 8.38, pays 3.7% dividend
Tesla, negative earnings.

Tesla needs to eventually make 2 billion a year in profit, to sustain a 30 billion market cap.

$10,000 per car, they need to sell 200,000 cars. Except there's no way in hell they'll make $10,000/car with competition so tight, and luxury market so small (nevermind battery replacement costs and such).

Overvalued as fuck.

Are you fucking retarded?

>>517895
i know nothing of him, you seem to though.

>>517895

are you some sort of moron?

Tesla, regardless of what you think of it, is perceived as a company that will make a good return on it's investments. Their share price reflects the market's optimism.

>>517897
i didnt say that it wasnt, i just said you cant look at ONLY the stock price as he suggested.

stay mad i guess.

>>517900
Because other companies have nothing in the offering? What does Tesla have that other companies don't? Self Driving cars are being developed by every major car company and google, so not that. What then? Electric cars? Chevy has both the volt and the sonic. So they're not alone on that. In fact it doesn't look like they have any proprietary technology that someone else can't do better. Toyota is rolling out the FCV this year. The market is basically made for the big manufacturers and Tesla is just overpriced compared to their offering. If you want to be a bagholder go ahead.

>>517896
Seeing how the Nissan Leaf costs $30,000 for a little subcompact electric car, Volt costs $35,000 for a compact... how is Tesla going to make something that competes in the same space?

Customers can afford $25-27k base. Beyond that and it's getting into the luxury, lower-production area. There's plenty space for Tesla branding on a hybrid. They're just not going to get costs down to Prius levels with all electric, so they're not going to move 100,000+ units in the US.

>>517901
On that I agree. I just didn't see where you're getting 3,170:1 from. Now doing the math I see you mean Ford has 31.7 times as many shares. My apologies.

>>517906

Telsa has the fact that they have no incentive to preserve gas-engine car sales. A company like GM isn't going to make something that isn't as profitable as gas-powered cars especially considering their close ties to oil companies.

>Self Driving cars are being developed by every major car company

and EV take to self-driving systems easier than analog gas engines

>The market is basically made for the big manufacturers

not really, it's made for companies that offer good products. GM is only alive because they got a cash infusion and most car sales come from overseas now. Assuming Telsa is smart, they'll be able to make cheaper EVs than everyone else and rake in the dosh. If not, they become a fairy well-known luxury brand that becomes apart of Ford, which would still mean profit from an investment standpoint

>>517907

>Seeing how the Nissan Leaf costs $30,000 for a little subcompact electric car, Volt costs $35,000 for a compact... how is Tesla going to make something that competes in the same space?

by making a cheaper car. I'm not saying it's not competitive, but Tesla is the only company willing to experiment. I'm of the opinion that most normal people can be coaxed into buying a stripped down EV as long as it can go 200 miles and costs $10k.

>They're just not going to get costs down to Prius levels with all electric, so they're not going to move 100,000+ units in the US.

I don't see why they can't get costs down, especially when they're licensing their patents to Ford

even if you disagree with my optimism, the company will be a good investment even if it's sold off to a bigger company. There is no reason why you shouldn't have a few shares of Telsa stock.

>>517940
>peopleactuallybelievethis.jpg
Go bagholder, Tesla stock awaits.

>>517849
Who the fuck doesn't have an outlet in their garage Tesla is in america not brokeistan

>>517858
9/10, u rustled the fuck out of some jimmys in this thread.

>>517953
sorry I will clarify. While an outlet has been required in a garage for a long time, As of 2014 NEC code adoption an outlet specifically for each bay where a car can be parked is required to have a dedicated circuit specifically for the use of charging electric vehicles. hope that helps

>>517962
When they're shilling like fuck it's not hard. The Tesla crowd is reddit-tier retarded.

>>517940

It's hard to make an electric go-kart that could do highway speeds for $10,000. Nevermind an all-electric car.

Tata Nano, India version.. with an electric drivetrain would cost $5,000 more. City car. So, $11,000. Customs, brings it to $13k. US safety standards and you have a bottom-of-the-barrel Indian car for $18,000, that won't do more than 30 miles on a charge. Chevy's selling Volts at a loss. Leaf is likely break-even. It's not nearly as cheap as people think, to make a car.

It's literally impossible to cut costs much more than this (no, people won't forgo the cupholders to save $5). Batteries alone will cost more than a small engine. Nevermind the electric motor.

>>517828
Low oil and gasoline plans will slow electric vehicle adoption. So no, don't buy.

>>517965
wtf? are you talking about 210.17? it's just saying if an elec vehicle outlet is being provided, it needs to be a dedicated circuit... as far as I know, there won't be anything requiring chargers, but could be wrong.

also NEC 2014 is a long way out still (thank god). I still run into cities that are using 2005.

None of the ICE manufacturers will push electric cars because it undermines their business model. They are tied to dealers at the hip and the dealers don't want EVs because they need much less maintenance. Dealers make money off of service. A Tesla's drivetrain consists of two parts. No oil to change either.

We are approaching the three year mark for the early Model S-es. Guess what, Tesla will buy these back up and re-sell them as used cars. Again, no dealers to deal with. Used cars are higher margin than new cars. More cash flow.

Also GM's gross margin is like 3% and Tesla's was 28% last quarter. There are provisions in Tesla's employee stock options to vest if they hit a 30% gross margin. They plan on making 10 times more per vehicle than the largest car manufacturer in the world. As an aside, unlike GM, Tesla doesn't have to deal with unions.

Tesla would be profitable TODAY if they cut their massive R&D and SG&A expenses by only 25%. lrn2 10Q

Also...in China you literally need to win a lottery to get a driver's license...unless you buy an EV where the odds are 1:1 to win. Guess what car people want?

>>518010
>plan on making 10 times more per vehicle than the largest car manufacturer in the world
>bagholders actually believing this shit.
>>518012
>because the typical chinese has 40k American plus import tarrifs, and taxes to spend on a vehicle.

>>518015
They already make over 9 times more, what's another 7% increase in gross margin?

I don't have to prove that Chinese people will buy Teslas because it's already happening.

>>518023
>Tesla made its first deliveries into China in late April after reportedly importing 53 cars.
53, man, that's huge numbers. I don't know if ford can compete with a whopping 53 vehicles. That's like gorilla hands huge numbers. You may be right. I mean 53 vehicles is "reportedly" massive

>>517995
>>518005
The point was that the circuit is going to be right there and consumers will have one less thing to put as a con when deciding if they should buy an ev.

My state has just started using the 2014. They also required us all to renew our licenses accordingly...

>>517950

k den

>>517991

sure, if that's what you want to believe

however I'm of the opinion that Tesla will be one of the major drivers for EVs and will be the one that profits the most from it