GM and Tesla Merge?

[JerTM]

Originally Posted by alcal1084

So does this mean you will be interested in the model3 when it comes out in a few months?

It's a step in the right direction for sure, but no. My 3 mile commute doesn't really put a hurt on my budget, even at the 16mpg my truck gets lol

[FenwickHockey65]

Originally Posted by alcal1084

So does this mean you will be interested in the model3 when it comes out in a few months?

I wouldn't be interested in any new Tesla until at least 5 model years in.

[KMPrenger]

...and now they are being called America's most valuable automaker. I'm not sure that is accurate....but whatever....

https://www.bloomberg.com/news/artic...a-s-top-valued

[h422694]

From what I've read, the battery plant has started production but Tesla made a commitment to invest 5 billion over the next 10 yrs. To date they are far behind in they've only spent about 350 million. Battery production is supposed to drive the average cost of their cars to around 40K.
Last yr auto production was planned at 25,000 but they only produced 22,000, 12% less than projection. By end of 2018, they are projecting 500,000 units produced.
Company value is way high. Speculation is driving stock price up which in turn increases company valuation. I think stockholders are going to be in for a rude awakening in the next year or so if they don't get things turned around.

[DGthe3]

Originally Posted by KMPrenger

...and now they are being called America's most valuable automaker. I'm not sure that is accurate....but whatever....

https://www.bloomberg.com/news/artic...a-s-top-valued

That was the first line in the article linked to in the first post: "Tesla is now worth more than GM"


A publicly traded company's value is its stock price multiplied by the number of shares that exist for that company. If their stock price is 100x what it should realistically be, you are going to end up insane situations like Tesla being worth more than GM. Keeping in mind the fact that for years GM has been turning annual profits that exceed Teslas operating revenue. And yet in the eyes of investors, Tesla is somehow worth more.

[xc_SS/RS]

How on earth is Tesla so valuable? Honestly asking, because as I see it they make two (three?) cars and then there is the other electrical product side (just batteries and charging stuff?).

I get how it's based on stock prices... but other than that, what does Tesla bring to the table that makes them so valuable?

[JerTM]

Originally Posted by xc_SS/RS

How on earth is Tesla so valuable? Honestly asking, because as I see it they make two (three?) cars and then there is the other electrical product side (just batteries and charging stuff?).

I get how it's based on stock prices... but other than that, what does Tesla bring to the table that makes them so valuable?

Like any car, it's only worth what people are willing to pay. People still have stars in their eyes over the pretty, shiny new toys and the promise of future technology. So far that hasn't been delivered. Like said before, if things don't start turning around Tesla will be next to worthless. I truly do hope they succeed, that will help drive other companies to invest in electric.

[strykerg8gt]

Originally Posted by xc_SS/RS

How on earth is Tesla so valuable? Honestly asking, because as I see it they make two (three?) cars and then there is the other electrical product side (just batteries and charging stuff?).

I get how it's based on stock prices... but other than that, what does Tesla bring to the table that makes them so valuable?

The valuation is all based on speculation of what they may do in the future. If you were to do a valuation based on tangible assets, then they come nowhere near GM or any major car maker for that matter.

What makes me laugh is that people still put so much faith into Elon Musk even after his numerous failed attempts at delivering vehicles on time, not to mention how many times he's failed at landing that unmanned rocket of his.

[AZCamaroFan]

i heard the other day the Tesla is worth more than GM and i looked up how many cars they sell and then okay

[alcal1084]

You guys are still fixated on the cars. Do some research the company is not just an auto manufacturer.

[silentownage001]

Originally Posted by strykerg8gt

not to mention how many times he's failed at landing that unmanned rocket of his.

Actually they just successfully reused a rocket and landed it again. They've landed their rockets a number of times now.

[bpang1234]

Originally Posted by BMR Sales

Exactly - Solar & Batteries are what makes Elon Musk money, not that he needs it!

They haven't made any money on Solar, yet. Batteries, sure. Cars, nope. Altogether, last year was really the first year they turned a small profit after like 14 quarters in the red. Some of that had to do with financial reporting gymnastics.

Where they are really making their money is selling those ZEV credits to other automakers.

[xc_SS/RS]

Originally Posted by JerTM

Like any car, it's only worth what people are willing to pay. People still have stars in their eyes over the pretty, shiny new toys and the promise of future technology. So far that hasn't been delivered. Like said before, if things don't start turning around Tesla will be next to worthless. I truly do hope they succeed, that will help drive other companies to invest in electric.

Originally Posted by strykerg8gt

The valuation is all based on speculation of what they may do in the future. If you were to do a valuation based on tangible assets, then they come nowhere near GM or any major car maker for that matter.

What makes me laugh is that people still put so much faith into Elon Musk even after his numerous failed attempts at delivering vehicles on time, not to mention how many times he's failed at landing that unmanned rocket of his.

Gotcha, it seems odd how the value of a company can be based on 'future products' when those products haven't even started production. I don't really get that bit of economics or whatever it may be lol

I hope Tesla can deliver on the Model 3. If not, I wonder if that might be the start of the downhill slide for Tesla? As a car company at least... Space-X is it's own entity right?