Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Interesting points. None of which point to clear reasons why Tesla can't be profitable. Saying Tesla can't be profitable because of Elon Musk is so...lame. No depth of analysis.
Side note on batteries - Tesla's old batteries in S&X seem to degrade to 85-90% of initial value and stay flat (so far at least). It is claimed that the new batteries (in Model 3) will perform even better.
So apparently you can't read.
I repeat. I didn't say they CANNOT be profitable. Only that the company is unlikely to last long enough to reach that point.
Claims don't matter. Only results. And results are thin on the ground for this guy.
Criticizing someone for something they did not even say is so lame! LOL!
And as a believer in underdogs...I have respect for tesla and think they will pull thru. it's so discouraging that the auto industry is thwarting the concepts tesla wants to introduce.
FCA is very profitable. 7.5 billion in profits last year. Equity of 25 billion. That's pretty far from bankrupt. People saying they will go broke think its like the old Chrysler, which it sort of is but mostly isn't.
No bankruptcy ofcourse but I don't think Fiat will continue sales in the US market for much longer. I definately can't imagine them still being on the showroom floors in 5 years...even 3 years would surprise me.
FCA is very profitable. 7.5 billion in profits last year. Equity of 25 billion. That's pretty far from bankrupt. People saying they will go broke think its like the old Chrysler, which it sort of is but mostly isn't.
Yep i know everyone thinks they know the automotive industry but have no idea what goes on. I have a good friend who works for FCA and they art doing Great now. He’s working 7 day a week FCA is bringing out a new Jeep pickup and they are retooling the Warren Truck assembly plant to make the 250 and 250 pickups that were made in Mexico and that move created new jobs for UAW workers. FCA is doing very good now and their new Pacifica van is also selling well.
No bankruptcy ofcourse but I don't think Fiat will continue sales in the US market for much longer. I definately can't imagine them still being on the showroom floors in 5 years...even 3 years would surprise me.
He’s FCA plans for the next 5 years. Even though Sergio Marchionne isn’t longer here FCA new ceo will carry on Sergio Marchionne plans.
I voted Tesla because they are going to have to deal with some serious non-operating losses. Musk tweeted false information about a private buyout to "burn the shorts" which he tweeted about a couple days before. You can be sure that the institutional investors that were short at the time of the tweet are going to sue Tesla (and presumably win). There's also going to be some sort of SEC disciplinary action.
Musk has a second problem at an individual level. He publicly announced his purchase of $10m in shares through twitter. We have since learned that at the time of his purchase, he was in negotiations with the Saudi Sovereign Wealth fund regarding a buyout. That's insider trading at a level that's orders of magnitude worse than what many people have gone to jail for. To make matters worse, he tweeted basically everything needed to get convicted. Its going to be hard for the SEC to look the other way given how publicly this all played out.
Couple these non-operating issues with the fact that they haven't turned a profit and its going to be tough to for Tesla to avoid a reorganization. Bond holders also might prefer for the company to enter a quick chapter 11 and come out with the equity of a visionary company at the end of the ordeal. Its important to remember, bankruptcy doesn't mean the Company or its operations vanish.
Would you agree that other car manufacturers also don't have any unique / valuable IP?
No. I don't agree at all. Car manufacturers have an astounding amount of patents and IP. It's why we're not flooded with Chinese cars.
My point is that Tesla stock is priced as if it's a tech stock. They have been able to raise money to fund a loss-making operation by selling stock at extremely inflated values. I don't see how that can possibly continue in the long term. Tesla has nothing in their IP patent portfolio to keep the huge automobile manufacturers out of their EV market space. It's not like Xerox with a patent on the photocopy machine or Polaroid with a patent on instant photography. It's pretty clear that Tesla isn't the leader in autonomous vehicles with the huge dollars Google is pumping into the technology and all the money the big auto manufacturers are spending on R&D in that space. Tesla isn't disruptive technology.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
it's so discouraging that the auto industry is thwarting the concepts tesla wants to introduce.
