Disruption

Investment Analysis Clubs Saul’s Investing Discussions
21

https://jalopnik.com/here-is-why-you-should-buy-a-cheap-used…

Dang! There are as many used Leafs as their are leaves on the trees in my neighborhood.

I may look into this. $5 or $6k for $19k mile Leaf? Talk about saving wear and tear for in-town driving on your other car, or to stay under miles or avoid excess depreciation, not to mention use in the HOV lane to downtown Atlanta during rush hour.

How reliable are they? Tbd.

Now look at a used Tesla S: https://electrek.co/2017/06/30/tesla-used-car-buying-experie…

An S is to a Leaf as a 7 series BMW is to a Corolla or perhaps a Camry, more like a Corolla, but still there is a marked contrast in depreciation between the two brands.

Nissan is going to have quite the challenge to make a profitable Leaf 2 that can compete given the current circumstances with the original Leaf, either new or used relative to Tesla.

Will have to check back and see how well the 3 holds up on the used car market.

Tinker

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To be more concise a 2 year old Leaf w 19k miles is selling for less than $6k, whereas an S with 47k miles is selling for $65k.

That is approximately 80% depreciation for 19k miles for the Leaf vs. what is somewhere between 25-35% (depending on the options) for 47k miles for the Tesla.

It does speak very well of the Tesla.

But it does not speak very well for the future of electric cars. The Leaf is practically a throw away after a few years. Will that eventually happen to the Tesla 3 when it is being sold at high volume? TBD.

But as things presently stand the depreciation difference between the two cars is profound.

Shall wait to see what the new Leaf will bring us.

Tinker