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From the blog post, "Tesla stock is down almost 10% today, after its 2012 earnings report became public. Tesla missed its projections and investors hammered th
by tokenadult 14y ago
From the blog post, "Tesla stock is down almost 10% today, after its 2012 earnings report became public. Tesla missed its projections and investors hammered the stock in response."
I guess that's what you call contrarian investing. Sometimes that works just fine. Sometimes that doesn't work so well. People who have extra money to buy speculative stocks can make their own call on this, I guess.
I found it interesting that there were many news reports about the Tesla fourth quarter results call yesterday.
"Tesla 4Q net loss widens on costs for new car"
http://www.businessweek.com/ap/2013-02-20/tesla-4q-net-loss-widens-on-costs-for-new-car http://www.businessweek.com/ap/2013-02-20/tesla-4q-net-loss-...
"As Tesla Eyes Profit, Elon Musk Wants to Punch Himself in the Face"
http://www.businessweek.com/articles/2013-02-20/as-tesla-eyes-profit-elon-musk-wants-to-punch-himself-in-the-face http://www.businessweek.com/articles/2013-02-20/as-tesla-eye...
"Loss Widens at Electric-Car Maker"
http://online.wsj.com/article/SB10001424127887323549204578316082000311770.html http://online.wsj.com/article/SB1000142412788732354920457831...
"Tesla’s Earnings Indicate Some Customer Cancellations"
http://dealbook.nytimes.com/2013/02/20/teslas-earnings-indicate-some-customer-cancellations/ http://dealbook.nytimes.com/2013/02/20/teslas-earnings-indic...
"Tesla posts revenue of $306 million, larger-than-expected loss"
http://www.latimes.com/business/autos/la-fi-hy-autos-tesla-2012-earnings-announced-20130220,0,7725.story http://www.latimes.com/business/autos/la-fi-hy-autos-tesla-2...
So, yeah, some investors will read all that and still bet on Tesla's stock having a rising value over their investment time frame. But customers who are thinking about buying the car might wonder if the company has enough financial strength, while losing money on every car it sells, to provide long-term customer service and the promised completion of the Supercharger network, etc. If it's your money, spend it how you like, but be sure to diversify for maximum safety.