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I wouldn't weigh an investment in TSLA with the same metrics you'd use for mutual funds or steady large companies. Tesla is clearly a growth company. They're c
by capkutay 13y ago
I wouldn't weigh an investment in TSLA with the same metrics you'd use for mutual funds or steady large companies.
Tesla is clearly a growth company. They're creating new categories (luxury, electric vehicles) and building infrastructure around it. They've also only released 1 sedan so they've barely penetrated the market. As a growth stock, I don't see anything alarming about a company that's worth 30x its quarterly revenues. They have a visionary, intelligent CEO in Elon Musk and the image/brand of a car company that's ahead of the game. Not to mention, they make amazing products. FB is valued at 60x quarterly revenue, TWTR is valued ~140x quarterly revenue. I would much rather bet on Tesla becoming the most valuable car company in the world (at least ~$50b in mkt cap) than the insane valuations of social media companies.