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How is Tesla stock worth nearly $1B back again, after dropping under 300B recently? The market is bonkers. And any sense of how valuations work are just made up
by firebirdn99 3y ago
How is Tesla stock worth nearly $1B back again, after dropping under 300B recently? The market is bonkers. And any sense of how valuations work are just made up at this point.
- LanceJones 3y agoThe market is reality. Everything else is just opinion.
- Zambyte 3y agoThe market is a reflection of opinion. Everything else is what you are told is someones opinion.
- rapsey 3y agoStock price is a function of investor optimism. Tesla is crushing it and there is nothing stopping them from growing. Thus the stock price is high.
- lawn 3y agoRampant speculation. Bitcoin is doing really well too.
- laichzeit0 3y agoFor meme stocks like Tesla boomer valuation metrics don’t work. You just buy and hold.
- elif 3y agoyou mean nearly $1T
- speedgoose 3y agoMany people think Tesla will do better than most other car manufacturers.
- notTooFarGone 3y agoYeah that's why they are valued as a car company?
- speedgoose 3y agoThey also have the charging network and the energy storage businesses, but I would assume it’s mostly about their cars yes. The AI supercomputer or the sexdoll/humanoid robot are probably not what people are thinking about when they invest in TSLA. Same for their solar panels.
- panick21_ 3y agoThey are valued at a growth company because they are growing.
- mavhc 3y agoThey're the only people who a) are making a lot of EVs, b) are making a profit making EVs, c) are experts in car software, d) are anywhere near self driving for cars you can buy, e) have great charging, f) basically now own the North American charging network, g) also have a supercomputer side business, h) also have a solar side business, h) also make batteries, and battery storage, i) have their own insurance system, j) have a virtual power plant to balance the grid, k) are making cheap humanoid robots which can use their self driving vision tech.
- WinstonSmith84 3y agoThe market is in extreme greed, and while there is still some room for upside we know what usually happens eventually... https://edition.cnn.com/markets/fear-and-greed https://edition.cnn.com/markets/fear-and-greed
- firebirdn99 3y agocan't edit: obvious $1T* Another note on valuation. Even Musk said many times, it's absurd. But the valuation in his view, and some analysts, is on Tesla as a autonomous Uber-taxi network. If you take a car that is parked, etc, and offer mobility services, that revenue is apparently enough to make it worth $1T. We won't just get rid of millions of cars we have on the road today. So, that if anything will take 20 or 30 years to become a reality if anything. And it's hope that it will create robots, etc...even though there is no evidence that it has any capability in the robotic space. So, this boils down to a continuation of crazy market froth that we have seen for several years, and excess liquidity in capital markets. I guess valuations will come down when recession fears come back into the frame which is the reality. But really crazy amount of money that people have put into the market over the last decade. All that has made it into a huge casino supported by the Fed, to mostly make the rich richer, where assets can add or remove $700B value in swings in 6 months.