Is Tesla (tsla) In Trouble?

Discussion in 'Investment Charts' started by longtermbull, Jul 26, 2017.

  1. longtermbull

    longtermbull Administrator Staff Member

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    We havent really seen a period of profit taking since the huge rise began - surely there must be something else going on behind the scenes?
     
  2. longtermbull

    longtermbull Administrator Staff Member

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    There is absolutely no stopping the Tesla share price at the moment! The company now has a market capitalisation which is greater than the combined values of GM and Ford and higher than Volkswagen! Where is the money where is the profit?
     
  3. gowiththeflow

    gowiththeflow Senior Investor

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    Not even the slightest suggestion of a fund raising at these crazy levels - what is going on here?

    A few months ago there were concerns the company was going bust. Where has the required funding come from if not from outside investors?
     
  4. Chartman

    Chartman Senior Investor

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    Tesla is yet another company which could be impacted by the coronavirus bearing in mind it has just really started pushing Far East sales and manufacturing capacity. However, it has to be said that so far there has been limited profit-taking and the momentum still seems to be on the upside. How far can this go? Would this be an opportune moment to undertake a fundraising?
     
  5. Chartman

    Chartman Senior Investor

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  6. Buyonthedips

    Buyonthedips Senior Investor

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    There is just no stopping this one! To justify a valuation in excess of $100bn even on a rating of 30x earnings it would still need to post circa $3b profits a year. So far just over $100m in a quarter - madness absolue madness
     
  7. Buyonthedips

    Buyonthedips Senior Investor

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    Interesting to see the shares still pushed ahead even after the Saudis bailed out. I guess the death of many short positions will have been the main reason for yesterdays push and todays "correction". Talk that shorters have been hit for upwards of $5b in losses!

    The irony is that now is probably (in hindsight) the time to short the stock lol
     
  8. longtermbull

    longtermbull Administrator Staff Member

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    There is a lot of talk that Tesla will be the next big thing in the world of technology but where is the proof? Yes, we know they were cash flow positive to the tune of $1b in the last quarter but the company is still not posting quarterly profits on a regular basis. However, if the company is cash generative to that level then surely the issue of a potential fund raising must be a distant memory?

    I saw talk of a Tesla fleet of unmanned taxis but it would surely take more than a few taxis to warrant a market cap of well well over $100b. Just not getting it yet - but Elon's stake is now worth $8b!
     
  9. gowiththeflow

    gowiththeflow Senior Investor

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    Time to bank some short term profit on Tesla or sell 1/4 to 1/2 of your holding and get keep the rest for nothing (if you got in early enough)?

    There is no doubt that those closing out short positions have boosted the share price over the last few days - some of them will be on huge huge loses! Why is the share price anywhere near $800? I havent go a clue and I dont know why one analyst reckons the shares will be $7,000 in 5 years.

    Then again I personally laughed when the shares had shot ahead to $400 just recently and one analyst was predicting $600! Look at the price now....
     
  10. longtermbull

    longtermbull Administrator Staff Member

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    Well that was a rocky ride! Nearly touched $1000 and back down to circa $750. Looks like the shorters are having another go to me. Can anyone explain what the current valuation is based on?
     
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