> I'd think they're immune to the cult-of-personality effect, at least if approaching that stock from a fundamentals perspective. > Is that view outdated, e.g.

> I'd think they're immune to the cult-of-personality effect, at least if approaching that stock from a fundamentals perspective. > Is that view outdated, e.g. because of modern trading algorithms? It's outdated or it might have never been true. It's not that much to do with modern trading algorithms IMO, but more about FOMO (Fear of Missing Out) and the general market culture. There have been many frauds, near frauds or simply unviable business models, where institutional investors fell for it, including pretty obvious ones like FTX, Frank by Charlie Javice, DC Solar, WeWork, Uber and Theranos. Everyone is afraid of missing the next Google/Nvidia/Microsoft/Apple, so anything goes in the hope that something, anything could hit it big. Add in the extra belief that "green" stuff (which Tesla supposedly is) is super important, at a personal and global level, with many countries enacting bans on cars with combustion engines, and there was lots of belief in Tesla. At one point they were valued higher than all other auto manufacturers combined, while delivering a fraction of the output of the smaller ones like Renault. Under the mistaken and wrong assumption that it will somehow be harder for legacy automakers to switch to electric vehicles than it would be for Tesla to ramp up production. Spoiler: It's harder to manufacture a million cars than it is to put batteries in 5 of them. This will probably not last with the new, higher interest rate environment we're in. Maybe.