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Only an issue if you're an investor. The expectation is eventually that revenue stream will dry up. The question is if Tesla will be able to build it's other re
by papercrane 5y ago
Only an issue if you're an investor. The expectation is eventually that revenue stream will dry up. The question is if Tesla will be able to build it's other revenue streams up to replace it.
- falcolas 5y agoIt's also somewhat volatile, as there aren't guaranteed purchasers for the credits. Recently, one of the biggest purchasers from Tesla (Stellantis) announced that it would stop buying credits entirely.
- nickik 5y agoYes one of the other companies would could have sold credits, is now no longer in the market making there be less credits on the market. Crazy how that works.
- klmadfejno 5y agoWhat if you're an investor who lives on Earth?
- papercrane 5y agoThen you'll be worried about Tesla losing a revenue stream, and happy that they're losing it because other companies are transitioning to EVs.
- klmadfejno 5y agoYou either believe its priced in and don't care, or you believe its not priced in and shouldn't be holding it for that reason. If you're not thinking at the level of second order changes in a company's trajectory you're not really an investor so much as a gambler or someone looking to park their money out of cash.
- papercrane 5y ago100% agree, just explaining why it matters for some people. Personally, I think TSLA is overpriced (not because of this though) so I'm not buying, but I won't be mad if proven wrong.
- nickik 5y agoPeople telling me not to invest in Tesla have been telling me 'credits will go away next year' since 2015. Yes, eventually it goes away, but anybody that actually reads the sheet knows that Tesla doesn't depend on these credits. As an long term investor I don't care about profits each quarter for a company like Tesla.