Boom!
https://seekingalpha.com/news/3508791-tesla-plus-12-percent-……
Looking ahead, Tesla says it’s highly confident it will deliver more than 360K vehicles this year (down from prior guidance). Positive quarterly free cash flow is anticipated going forward, with possible temporary exceptions around the launch and ramp of new products. The Model Y is on track to be released by summer 2020 and limited Tesla Semi trucks are expected to be produced next year.
I know the topic of Tesla is taboo here for some, but the company’s shares most certainly represent a growth stock with 50%+ revenue and production growth, and all while the business is SUPPLY constrained. That will soon change with the Shanghai facility now opening in the largest market in the world for its products, and with many more products (Modely Y SUV, Semi, Pickup, etc.) coming to market in the near term. Some feel this Company’s shares could be trading 10X higher than today in 5 years.
Regardless, I believe this is the start of Tesla proving it can sustain, expand and profitably operate its incredibly disruptive business. Sure, this is a capital intensive company unlike our beloved SaaS companies, but it is the low cost provider and technology leader with a competitive position that is many, many years ahead of the industry and their overburdened profiles tied to ICE manufacturing, wasteful union labor and an unprofitable dealership model. Might be a solid addition to some portfolios looking for exposure to this arena.
Tesla is a disruptive train that is revving up…!
Fool on!
–Rockleppard
15 Likes
Some feel this Company’s shares could be trading 10X higher than today in 5 years.
This would leave TSLA with a $450B market cap, which is larger than the collective market caps of Toyota, GM, Ford, Hyundai, and Volkswagen combined
This is the irrationality behind this company.
If Tesla finds hyper growth in energy storage, then I’m not only all in, but I believe the hype.
Anyhow, there is no way in hell I think this company goes from $45B to $450B faster than AYX goes from $6B to $60B or ZS goes from $6B to $60B. Largely, because there is no proof point that the market is large enough to handle that.
Just a Fool
23 Likes
Tesla is OT for this board.
6 Likes
but the company’s shares most certainly represent a growth stock with 50%+ revenue and production growth, and all while the business is SUPPLY constrained.
Apologies for replying, as I have noted that Tesla has been called out as off-limits, but I must correct the 50% revenue growth number cited above. That is simply not correct.
Looking at Q3 2019 compared to Q3 2018, Tesla’s total revenue is down about 8% ($6.824B to $6.303B) and the automotive revenue is down about 12% ($6.099B down to $5.353B) on a year-over-year basis. Yes, that is only 1 quarter, but it is not 50% revenue growth. It is not revenue growth at all. No “Oomph Factor”.
Here is a link to the letter, where those numbers are clearly presented.
https://ir.tesla.com/index.php/static-files/47313d21-3cac-4f…
I will end this post there, but that particular item needed to be corrected to try to help any passers-by have accurate information.
TSLAQ Podcast
Mildly wrecked with the after-hours action, as I remain short TSLA
8 Likes
TESLA IS OFF-LIMITS FOR THIS BOARD.
That is first of all because it is not a growth company (total revenue, automobile revenue, and earnings all down y-o-y) but mostly because it raises huge emotions and it’s like arguing about religion or politics, and there are never-ending and very emotional arguments.
FURTHER POSTS ON THIS THREAD WILL THEREFORE BE DELETED.
Saul
12 Likes