https://www.zerohedge.com/markets/telsas-sh...sp-autos-sector

Do Google the phrase Tesla poor build quality....

One recent new buyer complain

https://www.caradvice.com.au/843686/tesla-model-y-customer/

That article on zh was posted because it's one of the few articles pointing out Tesla value as a company.

As it is, Tesla market cap is 237Billion USD.

Some comparison...
BMW is only 38 Billion Euro
Mercedes is 40 Billion Euro
Toyota is 22.3 Trillion yen
and the VW is 73.1 Billion Euro

Look at Tesla.
It's still fairly new.
At one point, due to insane company cash burn rate, the company nearly died... this was like last year, no?

So the logical question one should ask is whether Tesla should be the biggest market cap stock ?

Is this a fair question or not?

And it's not whether one is bull or bear over the stock... yes?



Ahh.. the quality issue.

When one see the stock, Tesla, priced the most valuable, one needs to check out if there's any problems with the car or not?

Isn't this not a fair risk assessment one should have taken?
If the car is problematic, sooner rather than later, people would NOT buy.

Model 3 had issues and now the latest Model Y.
That's where the risk I see.
You said build quality can be addressed.
Yes I agree.
But judging the current complains, it certainly looks like Tesla is concentrating its effort on producing, sacrificing quality control.
It needed the turnover to satisfy the stock market... but it would appear its risking its very customers...
Getting a faulty car right off the factory leaves a very bad taste for buyers...
And with social media... these stuff can spread very negatively...

which brings us back to the market issue...
given the quality of the cars sold..
should Tesla market cap be so big?
Yeah... some had pointed out that Exxon Mobil cap is only 187 Billion USD.
Tesla market cap at 237 Billion?

Well, you gotta be honest with yourself and ask... wait a minute.. is Tesla over valued?


my 3 sen

oh yeah... I do know what you mean...

for the record... Tesla closing price on 17th June is 1500.64 or a market cap of 278 Billion....

easily beating many OLDE SCHOOL STOCKS....

Disney market cap is 215 Billion...
Coke market cap is 198 Billion...
PepsiCo market cap is 185 Billion...
Anheuser Busch market cap is 105 Billion...



It be interesting to see to visit back this market cap issue one year later....

* tag keyword: bookmark *

Say kelvin, tesla cars made in China, are they sold in US?

True to that. They even get revenue from their charging stations too but if not mistaken all these stuff pale in comparison to their automotive session.

Knowing that there is sales is one thing but seriously Kelvin, since you had opened this discussion thread, you really gotta ask the big issue .. is Tesla over valued?

Yes?

Let me share why..... haiayaaa.... hope you can appreciate this a forum for discussion la... nothing more... nothing about my one better than your one...


1. Tesla has turned in a couple of quarters where it had shown that the company can earn money but the big picture is... on an annual basis, Tesla is still recording losses the last 5 years.

2. Latest quarter. 5.98 Billion sales but profit is only a mere 16 million. That'a an eps of 0.09 sen.

3. This is only the 3rd time Tesla reported quarterly profits... Q3 2019 (143 million), Q4 2019 (105 million), Q1 2020 (16 million).
3 consecutive quarters of profits but profits are lesser and lesser..

4. Yes, there is improvement in cash flow.. which helps ease much of last year's concern that Tesla could go under (losing money and burning cash like hell)

Source: https://www.marketwatch.com/investing/stock.../income/quarter
https://ir.tesla.com/financial-information/quarterly-results

5. Just in terms of EPS... some facts...

Tesla EPS for the twelve months ending March 31, 2020 was $-0.84.
Tesla 2019 annual EPS was $-4.87
Tesla 2018 annual EPS was $-5.72
Tesla 2017 annual EPS was $-11.83
Tesla 2016 annual EPS was $-4.68
Tesla 2015 annual EPS was $-6.93

If one take away the company name (to remove any bias for/against the stock), ask yourself this...
Based on the above numbers
The 3 quarter they reported a profit, their net profit margins are super thin...
yes, with 3 consecutive quarters it appears the company could finally report a first annual profit....
now just based on this (without the stock name) ...
with a negative trailing eps ....
should this stock trade at 1500?

with such financials...
should Tesla trade with a higher market capital than those companies mentioned earlier?


yup .... is Tesla over valued?

This post has been edited by Boon3: Jul 18 2020, 01:14 PM

Yes, it's good that you had a plan. Having a 10+ plan certainly helps. However, sometimes we can get blessed by the market and our targets are realised far too soon. I certainly am lucky to be blessed more than a couple of times. What I did was I forced to reevaluate. Do I really want to wait much longer? Does longer really helps or perhaps based on law of probabilities and averages and also reassessing the market risks, I ask myself, do I want to be in control of the situation and sell for a profit? Cos sometimes, waiting much longer, might not really improve my profits...

LOL. Life decessions.

Anyway, all the best