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What happened in 2020 that made investors think Tesla was a tech company instead of a car company? Based on the graph in TFA, it seems like investors maybe used

• rootusrootus 4y ago
  > What happened in 2020 that made investors think Tesla was a tech company instead of a car company? My guess is nothing. Investors just piled on looking to make a quick buck on a rising stock, and it fed an enormous bubble. Money was looking for somewhere to go. The market is only rational over a very long timeline.
• xorcist 4y ago
  That was the year when major central banks said publicly that low interest rates were here to stay for a long time. The companies with the most debt were the ones to gain the most. Those promises did not age well however and valuations are still correcting from that.
• trefoiled 4y ago
  Not sure of the exact timeline here, but for a while Musk was explicitly promising that within a few years, true FSD would be a reality. He said you'd have to be insane not to buy a Tesla, because your car would be out there making money for you as an autonomous taxi when you're not using it. A car that pays for itself and then some would be a true paradigm shift, but as we can see now, his predictions were hot air.
• sonotathrowaway 4y ago
  They had a lot of money and needed somewhere to put it. Then just back-rationalized the higher multiples from there.