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I don't see how people come up with crazy numbers like this. Honda sells a shit ton of cars, and it's market cap is 50Billion.. https://www.google.com/finance?

• jasode 10y ago
  >I don't see how people come up with crazy numbers like this. Honda sells a shit ton of cars, and it's market cap is 50Billion. I think the way to view $700B is to picture Tesla as diversified company of selling battery technology, self-driving AI algorithms, in addition to selling cars. E.g. the PowerWall for homes, or licensing self-driving tech to FedEx, UPS, garbage trucks, etc. I don't have a crystal ball but this type of "diversified world domination" thinking seems similar to the grand strategies of AlphabetGoogle and Apple. It would be similar to thinking of 1995 Amazon.com as "only an online bookseller" and underestimating its future market cap potential. If Barnes & Noble market cap is only $84 million, how can Amazon be worth $340 billion?!? Because investors and industry observers noticed that Jeff Bezos was expanding to sell CDs & DVDS, kitchen appliances, opening up a 3rd-party market platform, cloud computing with AWS, etc. Honda also does some other things besides cars (e.g. Honda lawn mowers and Honda motorcycles) but some people believe Tesla's ambitions outside of cars will be worth more. Today, Tesla car sales are only a tiny fraction of Honda's and yet it already has market cap of $34 billion.