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Ah, but it has/had a tech company valuation. Why do you think valuations varied so wildly? You get the same thing with Tesla, it's valued more as a tech compan

Ah, but it has/had a tech company valuation. Why do you think valuations varied so wildly? You get the same thing with Tesla, it's valued more as a tech company than as car company.

szggzs27 7y ago
Clearly it does not have a tech company valuation, hence they pulled the IPO. You can't put a horn on a dog and call it a unicorn.
- benj111 7y ago
  I said 'has/had'. Anyway reread the linked article, the IPO is back on.
lordnacho 7y ago
You can make a reasonable case that Tesla might grow a lot, whereas other car companies not.
- benj111 7y ago
  Yeah sure, but if its valued similar to Ford, you'd expect it to grow to the size of Ford, at least. That seems a tall order, so then you're looking for other reasons for the high valuation.
xiphias2 7y ago
The biggest difference between car companies and tech companies is return on invested capital. According to that Tesla is somewhere inbetween a tech company and car company. Also it's the only car company that used software to substantially improve the performance of the car using software after selling it.
- benj111 7y ago
  ROIC? Have you got figures because I just googled for Telsa, Ford and Facebook at that doesn't seem to be the case, albeit with older figures. Anyway at this stage Tesla are selling luxury cars to the converted, its unclear to me that they can keep doing that. Eventually they'll have to start selling to Joe Bloggs. https://www.gurufocus.com/term/ROC/NAS:FB/ROC-/Facebook https://www.gurufocus.com/term/ROC/NAS:FB/ROC-/Facebook https://www.gurufocus.com/term/ROC/F/ROC-/Ford-Motor-Co https://www.gurufocus.com/term/ROC/F/ROC-/Ford-Motor-Co https://www.gurufocus.com/term/ROC/TSLA/ROC-Percentage/Tesla%20Inc https://www.gurufocus.com/term/ROC/TSLA/ROC-Percentage/Tesla...
- formercoder 7y ago
  ROIC is effectively useless for tech companies because they do not capitalize nearly enough R&D.
- C1sc0cat 7y ago
  Hackers do this to traditional cars - you can turn a bog standard Audi A6 into almost a RS with some software mods an di think to be safe you beef up the suspension and brakes There Is of course the fabled Ford FBI chip that was used on FBI pursuit vehicles, knackered the engine life of course. I was told this buy a guy who worked at a Ford dealership.

Ah, but it has/had a tech company valuation. Why do you think valuations varied so wildly? You get the same thing with Tesla, it's valued more as a tech company than as car company.

szggzs27 7y ago

Clearly it does not have a tech company valuation, hence they pulled the IPO. You can't put a horn on a dog and call it a unicorn.

benj111 7y ago
I said 'has/had'. Anyway reread the linked article, the IPO is back on.

lordnacho 7y ago

You can make a reasonable case that Tesla might grow a lot, whereas other car companies not.

benj111 7y ago
Yeah sure, but if its valued similar to Ford, you'd expect it to grow to the size of Ford, at least. That seems a tall order, so then you're looking for other reasons for the high valuation.

xiphias2 7y ago

The biggest difference between car companies and tech companies is return on invested capital. According to that Tesla is somewhere inbetween a tech company and car company. Also it's the only car company that used software to substantially improve the performance of the car using software after selling it.

benj111 7y ago
ROIC? Have you got figures because I just googled for Telsa, Ford and Facebook at that doesn't seem to be the case, albeit with older figures. Anyway at this stage Tesla are selling luxury cars to the converted, its unclear to me that they can keep doing that. Eventually they'll have to start selling to Joe Bloggs. https://www.gurufocus.com/term/ROC/NAS:FB/ROC-/Facebook https://www.gurufocus.com/term/ROC/NAS:FB/ROC-/Facebook https://www.gurufocus.com/term/ROC/F/ROC-/Ford-Motor-Co https://www.gurufocus.com/term/ROC/F/ROC-/Ford-Motor-Co https://www.gurufocus.com/term/ROC/TSLA/ROC-Percentage/Tesla%20Inc https://www.gurufocus.com/term/ROC/TSLA/ROC-Percentage/Tesla...
formercoder 7y ago
ROIC is effectively useless for tech companies because they do not capitalize nearly enough R&D.
C1sc0cat 7y ago
Hackers do this to traditional cars - you can turn a bog standard Audi A6 into almost a RS with some software mods an di think to be safe you beef up the suspension and brakes There Is of course the fabled Ford FBI chip that was used on FBI pursuit vehicles, knackered the engine life of course. I was told this buy a guy who worked at a Ford dealership.