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> This is the crux of the matter here. Many believe that Tesla is a car company and should be treated as such. Investors [...] such as myself view it as a growi
by ckastner 6y ago
> This is the crux of the matter here. Many believe that Tesla is a car company and should be treated as such. Investors [...] such as myself view it as a growing energy company.
I think it would be fairer to characterize Tesla as a growning energy startup. I can see the potential, but potential has to be realized, and Tesla is not the only startup working with solar and batteries.
In any case, the $450bn valuation dwarfs not just every other car maker, but also every other energy company.
$450bn is the combined market value of Toyota, VW, and Exxon.
- ericmay 6y agoSure. To that point I'd say that there are those such as myself that believe that Tesla will realize that potential, versus not realizing that potential. Tesla has the potential to create an actual subscription services that people would pay for. Autopilot is $8,000 right now, but activate it now for 72 hours for $50? Maybe $100? Now you might be eating into airlines as well. No other car company that has tried subscription services has been met with fanfare. Tesla is the only one who can get away with it. Little things like that make me say that it's a trillion dollar company, easily, once they start realizing that potential. But that's investing. We use numbers, our own intuition, and then make decisions! :)
- ckastner 6y agoFair enough. I'd still argue that the risk/reward is still way off, but as you say, that's an individual assessment.