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When the involvement of the world's richest man is the best explanation for an automaker's unusual valuation, a Nazi salute by Tesla “technoking” takes the brand's association into new territory.
Elon Musk twice made what most of the internet looked like Sage Hailes' appearance at a rally for Donald Trump's inauguration on Monday, which the businessman said Named “The Crossroads of Human Civilization.”
With his support for Far right Politicians in Europe, Twitter turned to Safe space For extreme viewpoints, Musk is acting like some kind of ridiculous propaganda for the meme era. The question on this finance blog is only what this means for Tesla's $1.4 trillion market cap, not for, say, humanity.
As an investment,”Tesla Financial ComplexIt has been the tail wagging the stock market dog for a long time, due to the massive trading in the options market that makes it much more than just shares in a car company.
Perhaps owning it is best viewed as a bet that Musk will one day deliver self-driving cars and robotaxis, or put Optimospot in every home. Or simply that the glorious technological boom will continue.
However, unlike Bitcoin, gold, or other emotion-based investments, there is a real business in the business of convincing consumers to hand over large sums of money in exchange for desired items. One, when Tesla reports full-year results next week, it's not expected to trade well.
Tesla's annual sales are expected to rise moderately to $99.6 billion, from $96.8 billion in 2023, a year in which the number of variable units has already declined. Competition is rampant, especially in China, while e-car prices are falling.
A valuation of more than 12 times expected sales is too rich for much on Wall Street, with Tesla shares an extremely rare occurrence where a minority of analysts are buyers: Bloomberg listed 28 buy recommendations, versus 17 holds and 14 sellers.
So, while we suspect that most short sellers stopped thinking about stocks years ago (please share your thesis if you haven't), it seems that selling cars to generate cash today will still be important to accessing any amazing future in the world. Technology. In his mind for his company.
Long gone are the days when purchasing a Tesla was a statement about the climate, or embracing a positive future. The stock price may be impervious to financial gravity. Car buyers probably won't care what it's actually called.Hello trick“.
If investors start worrying that Musk will become more associated with white energy than clean energy, then from $1.4 trillion, that's a very long way off.
Further reading:
— Price put on Tesla after Musk (fataf)
— Tesla's Q1 will be a wreck. Will anyone care? (FTAF, 2024)
— Tesla is crazy, will it ever collapse? (FTAF, 2020)
