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It's interesting to see that most comments look at Tesla based on their fundamentals, some kind of analysis of their currents financials vs. expected future fin

It's interesting to see that most comments look at Tesla based on their fundamentals, some kind of analysis of their currents financials vs. expected future financials. This is sound, if you are hoping to get 12% returns, but I think stock market today is more about expected returns measured in 100x multipliers. Money is cheap, so it makes all the sense to buy risky assets. What has the best chance at growth, Tesla or BWM, Airbnb or Hilton ...and so on. Tesla could be overvalued by 100x, and be still undervalued because its expected growth is still much higher than that of your other alternatives. At the end of the day, Tesla futuristic, exciting, and keeps innovating. Every one else is just playing catch up. What is more likely, old school car companies learn to innovate, or Tesla learns to produce cars with less defects and for less? They seem like equally likely, but one is a much harder problem than the other as it is rooted in the very origins and goals of the company.

nappy 6y ago
This is the sort of thing you read right before the bubble pops.
- switch11 6y ago
  so true so true it is interesting to see all the justifications people are giving for Tesla's completely irrational valuation Solar Roof/Solar Energy -> Solar City was going bankrupt and had to be bought by Tesla to save Musk's cousins (Rive) and his ownership stake in Solar City Electric Cars -> Check out what is happening on Europe. People keep saying Tesla is doing very well in China, without understanding that Tesla has a very small share of China and BYD is the largest EV maker in China Battery Storage -> So something that is a very small share of Tesla revenues will magically one day become a massive business? It's one thing to say - It will add $50 billion to the company Completely different thing to say it will add half a trillion Self Driving and Robotaxis - This has been the dream for the last 5 years Tesla said 1 million robotaxis by end of Dec 2020 Where are they? The combination of messianic leader who claims he is doing it only to save the planet and the human race combined with Fed printing money like its going out of fashion and investors desperate for returns Is a very dangerous combination

nappy 6y ago

This is the sort of thing you read right before the bubble pops.

switch11 6y ago
so true so true it is interesting to see all the justifications people are giving for Tesla's completely irrational valuation Solar Roof/Solar Energy -> Solar City was going bankrupt and had to be bought by Tesla to save Musk's cousins (Rive) and his ownership stake in Solar City Electric Cars -> Check out what is happening on Europe. People keep saying Tesla is doing very well in China, without understanding that Tesla has a very small share of China and BYD is the largest EV maker in China Battery Storage -> So something that is a very small share of Tesla revenues will magically one day become a massive business? It's one thing to say - It will add $50 billion to the company Completely different thing to say it will add half a trillion Self Driving and Robotaxis - This has been the dream for the last 5 years Tesla said 1 million robotaxis by end of Dec 2020 Where are they? The combination of messianic leader who claims he is doing it only to save the planet and the human race combined with Fed printing money like its going out of fashion and investors desperate for returns Is a very dangerous combination