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What you failed to mention is that in the preceding 4 years the stock price was flat despite Tesla growing revenues 50% a year and improving every other busines
by kjksf 6y ago
What you failed to mention is that in the preceding 4 years the stock price was flat despite Tesla growing revenues 50% a year and improving every other business metric.
What really happen was: for several years Tesla was executing very well but faced unprecedented amounts of FUD. That kept (many but not all) investors away.
But you can only fool people for so long.
Investors finally realized that none of the FUD of imminent bankruptcy etc. is happening and things flipped.
That was the reason for the 10x run up of the stock price within 1 year.
Not Tesla is fairly valued based on modest assumption about the future 5 years out and doing DCF (Discounted Cash Flow analysis).
- RivieraKid 6y agoWhat are these modest assumptions?
- sixQuarks 6y agoIt's crazy to me that you get downvoted for this comment, especially on HN. Everything you said is true.
- vardump 6y agoThis seems to be a pattern. Positive facts and opinions about Tesla are pretty often downvoted.
- anonymouse008 6y agoDon’t they raise a MFT (metric falcon ton) of money, consistently? I think the narrative flip really came down to — “oh they may always be on the verge of bankruptcy, but they can always raise from the public because the public loves Elon” So really they will always have runway to get to those goals, timelines really don’t matter.