Scott ShapiroDoes Tesla stock ever go up?
Trombone Joe Jackson@scottjshapiro I mean at some point it has to, no? Current forward P/E is 31 and it’s the only profitable stock in the sector.
At some point the emotion & downward short pressure gives way to economic reality.
T L Holaday@trombonejoe @scottjshapiro Is it your view that Tesla is the best managed company in the sector?
@tlholaday @scottjshapiro I think the CEO sucks, but he’s been iced out for the past year and a half and has very little involvement in D2D ops.
The rest of the management team has a decent pedigree; bottom line is it’s tough to argue with ongoing revenue growth esp compared with comps like WKHS, RIVN, NKLA, RIDE, etc. at some point that upward pressure has to stop the short pressure; I would look at a future earnings announcement.
@tlholaday @scottjshapiro what do you think?
@trombonejoe @scottjshapiro In my view, Tesla is not the best-managed company in the sector. I am curious about your view on its management because you said it was the only profitable company in the sector.
@tlholaday @scottjshapiro And that's a fact - all of the other domestic EV companies I mentioned are operating at losses. Lordstown was hoping to get a big USPS contract a couple years ago but that fell through.
Regarding the management, again I think the results speak for themselves. EPS was $0.21 in 2020, $1.63 in 2021 and the current trailing 12-month EPS is $3.24.
What do you think Tesla management should be doing differently that other EV manufacturers are doing?
@trombonejoe @scottjshapiro I know that the Tesla has nothing to sell me or any of my neighbors except rental cars, ride service, and multi-device 15v chargers.
@tlholaday @scottjshapiro ok, but you said you don’t think they have the best management team in the sector.
What EV manufacturer do you think has better management, and what have they instituted that Tesla should emulate?
Anybody can make generalizations.
@trombonejoe @scottjshapiro I think Tesla’s sector is “automotive vehicle design, manufacture, sales, finance, and servicing” not “domestic EV,” so I want to look at the specific companies you listed. I may discover that the management of all of those companies have also been sued in Delaware for paying a single employee $50B when their quarterly revenue is $3.3B and net property, plant, and equipment is $21.9B, and I simply haven’t heard about it.
@tlholaday @scottjshapiro oh, then we simply disagree.
From an investing standpoint, dedicated EV startups are a unique class that are completely separate from legacy carmakers. Nobody expects Toyota or GM to double their earnings every year. EVs are growth stocks, regular carmakers are large caps. Totally different.
Tesla is the only profitable company in the EV sector.
@trombonejoe @scottjshapiro From an investing standpoint, have any of the companies you include in your USA Domestic EV sector delivered as much value to short-sellers this year as Tesla?
@tlholaday @scottjshapiro and yes, all companies are sued.
And being sued isn’t necessarily a mark of poor management from an investing standpoint.
I think your bias is showing. People with bias make poor investors.
@trombonejoe @scottjshapiro Is it your view that the best use of $50B at Tesla is to pay a single employee?