My opinion is this:
400,000 people put down deposits to get on the list for a model 3. (no one does this for Ford, GM, or Fiat-Chrysler).
Tesla builds a car that is one of the best in the world, that happens to be electric.
Tesla is making their own batteries, charging stations, and more, forcing a massive change in personal transportation in the WORLD. They also have a 10 year head start, having developed their concept in 2008.
All the other car companies lust enviously for this loyal customer base, and are abandoning their “beloved” diesel and internal combustion engines to “go electric”, despite their cultural contempt for something that they think should be, well, a big golf cart. None of them have built a better electric car or have the chops Elon Musk has. With a multi-year head start, and “big picture” vision, I would put my cash on Tesla, rather than GM (who required a big cash bailout from the government), Ford (a stock stuck in the low teens and is stopping certain car production, like GM in the ‘90’s – and I own that stock at a loss), Fiat-Chrysler (what else can they sell to raise more cash? -nuff said), and VW (who can forget the Diesel emissions scandal). BMW built a performance electric, $75k more expensive than a model S, that does not offer much more than a BMW medallion on a mediocre (and expensive) electric car, rushed to market lest a BMW customer buy a -heavens no- Tesla!
I am not putting my life savings into Tesla, but I am an investor. Tesla has a head start on all the other car makers, who are rapidly building battery plants and their own plug-in adapters (Tesla offers their patented charging technology royalty free – other car makers won’t take it) and struggling with a learning curve years behind Tesla. They have a lot of Internal combustion baggage to lose, and legendary contempt for regulation, massive recalls, crooked dealers, and notoriously bad cars foisted on a trusting consumer.
It may not go to $1,000 a share, but I can feel better about Tesla than the money I put into Ford.
My apologies if you are seeking a technical analysis of PE ratios and moving averages; I am working with my gut and published information – my belief that this company, in particular, is more than just a pile of averages and graphs. Many analysts, notably Jim Cramer of Mad Money fame, frquently get caught up in speculation as to “what Tesla is”. Is Tesla a Car manufacturer? Tech Company? Cult company (Elon Musk cult of fame bringing blind investment dollars? Tesla is not always quantifiable based on industry or peer analysis. Here is Cramer commenting on Tesla’s May Conference call.
This is my opinion, not investment advice, and I suggest you do form your own opinion before plunking down any money on Tesla.
Tesla Model 3 delays don’t appear to dent depositor confidence – Autoweek
Tesla Model 3: Elon Musk’s mass-market car is a magic carpet ride – SCMP
How Tesla changed the auto industry forever – The Verge
7 Ways Tesla Is Changing Everything – Futurism
Tesla To Make Supercharger Network Available To All Automakers inside EV’s
Tesla points to opening up its Supercharger network to other carmakers -AutoVista group
BMW Has Been Building Mediocre Electric Cars Since 1972 – Business insider
What’s Really Stopping Big Automakers from Catching Up to Tesla –Inverse
Sorry if that been a bit of a rant, but I feel it’s time for personal transportation, if not the whole auto/truck industry, to go through a major shift in ideology.