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Let's see Tesla's growth rate when they're closer to Toyota's size. And speaking of meaningless numbers, who cares about market cap? How does revenue compare?

Let's see Tesla's growth rate when they're closer to Toyota's size. And speaking of meaningless numbers, who cares about market cap? How does revenue compare? Toyota is about 3x, I think?

dsugarman 3y ago
My whole point was to care about enterprise value and growth rate over market cap and p/e
wrsh07 3y ago
They're literally responding to someone commenting about stock price Tesla sales growth currently seems limited by their ability to produce, so that's fairly bullish Market cap isn't meaningless, though. Neither is debt. Market cap should be a function of assets, so presumably if Toyota had as little debt as Tesla it would be ~480b market cap. Why is Tesla higher? It has a better story (not saying I buy it, but at least I can explain it!): Better self driving prospects (data + compute), licensing charger design, huge growth numbers
- FireBeyond 3y ago
  At one point, Tesla was worth more than: Toyota, Volkwagen Group, Hyundai/Kia, General Motors, Ford, Nissan, Honda, Fiat Chrysler, Renault, Suzuki, Daimler, BMW, Mazda and Mitsubishi combined. (Plus several Chinese manufacturers: SAID, Geely, Changan, Dongfeng). I'd love anyone to justify that with a straight face.
  - YetAnotherNick 3y ago
    Tesla is the only company significantly ahead of its competition in technical specification.
  - wrsh07 3y ago
    The justification is simple but you won't like it: retail investors enjoy owning Tesla more than they enjoy owning any of those other stocks There are lots of reasons for that enjoyment, but I'm not sure they matter
- martin8412 3y ago
  Well no.. They don't have better self driving prospects. Tesla claimed in 2016 that the driver was only in the seat for regulatory reasons. We're now in 2023 and Tesla is still only level 2, nowhere near autonomous driving.
DriverDaily 3y ago
Let’s not forget Tesla dropped prices like mad to make these sales. The Model Y Performance was $69,990 last year and now costs $54,490.
- DoesntMatter22 3y ago
  True. Tesla may only be making 7x per Toyota per car instead of 15x
kelnos 3y ago
> Let's see Tesla's growth rate when they're closer to Toyota's size. Not sure what point your trying to make, though. Smaller, faster-growing companies usually do trade at a premium over their larger, slower-growing counterparts. That's just... kinda how the stock market works? You can certainly object to the magnitude of the difference between the two companies' PE ratios, but otherwise nothing seems weird here.

Let's see Tesla's growth rate when they're closer to Toyota's size. And speaking of meaningless numbers, who cares about market cap? How does revenue compare? Toyota is about 3x, I think?

dsugarman 3y ago

My whole point was to care about enterprise value and growth rate over market cap and p/e

wrsh07 3y ago

They're literally responding to someone commenting about stock price Tesla sales growth currently seems limited by their ability to produce, so that's fairly bullish Market cap isn't meaningless, though. Neither is debt. Market cap should be a function of assets, so presumably if Toyota had as little debt as Tesla it would be ~480b market cap. Why is Tesla higher? It has a better story (not saying I buy it, but at least I can explain it!): Better self driving prospects (data + compute), licensing charger design, huge growth numbers

FireBeyond 3y ago
At one point, Tesla was worth more than: Toyota, Volkwagen Group, Hyundai/Kia, General Motors, Ford, Nissan, Honda, Fiat Chrysler, Renault, Suzuki, Daimler, BMW, Mazda and Mitsubishi combined. (Plus several Chinese manufacturers: SAID, Geely, Changan, Dongfeng). I'd love anyone to justify that with a straight face.
- YetAnotherNick 3y ago
  Tesla is the only company significantly ahead of its competition in technical specification.
- wrsh07 3y ago
  The justification is simple but you won't like it: retail investors enjoy owning Tesla more than they enjoy owning any of those other stocks There are lots of reasons for that enjoyment, but I'm not sure they matter
martin8412 3y ago
Well no.. They don't have better self driving prospects. Tesla claimed in 2016 that the driver was only in the seat for regulatory reasons. We're now in 2023 and Tesla is still only level 2, nowhere near autonomous driving.

DriverDaily 3y ago

Let’s not forget Tesla dropped prices like mad to make these sales. The Model Y Performance was $69,990 last year and now costs $54,490.

DoesntMatter22 3y ago
True. Tesla may only be making 7x per Toyota per car instead of 15x

kelnos 3y ago

> Let's see Tesla's growth rate when they're closer to Toyota's size. Not sure what point your trying to make, though. Smaller, faster-growing companies usually do trade at a premium over their larger, slower-growing counterparts. That's just... kinda how the stock market works? You can certainly object to the magnitude of the difference between the two companies' PE ratios, but otherwise nothing seems weird here.