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Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
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Now that a significant number of EVs are on the road, many troublesome facts about them are coming out, and many of those are problems with the Tesla, that will affect sales. Just a couple of examples below.
Tesla had a great run...........but traditional car manufacturers are catching up and Teslas are looking old (Model S is 11 yrs old) and needs a replacement.
The stock price was hyped way too high and they will eventually come back to math......Price X Earnings etc!
Now that a significant number of EVs are on the road, many troublesome facts about them are coming out, and many of those are problems with the Tesla, that will affect sales. Just a couple of examples below.
Other automakers are catching up with Telsa which has meant EV market isn't just the latter's own anymore. While Telsa may be top dog in some EV categories that may not last much longer.
There are other forces are work as well.
Musk is a brilliant person, but he's also showing himself more and more lately of being a prime AH. This is sowing doubts in minds of many about his continued leadership of Telsa and everything else the guy has his mitts in.
Buying Twitter and personally inserting himself into that hot mess may prove Musk's undoing. He's been selling huge blocks of Telsa stock in aid of that adventure (and other reasons) lately. Then there are Telsa's problems in China, general tech market malaise, etc..
There's a HELL of a lot of 'em, running around here. (And "around here" mens from the Mexican border to Thousand Oaks, from the Pacific to about 50 miles inland. (So, figure about 20-25 million ppl.)
Tesla Market Cap is $496.08B up from $388.97B at the end of 2021..
That is an increase more than the total market cap of #4-Porsche $103.88B or of #3-BYD (China) $105.26B.
Still ranked #2 is Toyota $198.11B
Tesla has 3,146 million shares outstanding with Elon owning 423.6 million (13.465%) .
Price per share is $409.97 on 2021-11-04
Elon's share of Tesla is worth $66.08 billion not counting the value of his options to buy nearly 279 million more shares,
On personal level Elon is firmly in #2 spot in world ranking of billionaires by Forbes.
Bernard Arnault & family $215.3 B age 73 LVMH France
Elon Musk $168.1 B age 51 Tesla, SpaceX United States
Jeff Bezos $120.7 B age 59 Amazon United States
Gautam Adani $119.2 B age 60 infrastructure, commodities India
Larry Ellison $112.6 B age 78 Oracle United States
Sadly, a big part of Tesla's success was virtue signalling -- showing how green and modern you are.
Some of the stock decline is blowback from Musk's Twitter release. Who knows how much?
Tesla will be a premier EV company for as long as Musk is a top world innovator. Tesla is not going anywhere any time soon. They have a big head start on EV development and it is going to be a while before anybody catches them.
The thing is, can Tesla build EV economy cars, not just luxury cars. A lot of the luxury market is perception and ego driven, wanting to be seen in a particular make of vehicle. You don't want to run afoul of the wealthy, because they will migrate to a product that is more esteemed or "in".
Average Transaction Price of Vehicles sold in the US in December 2022
By Manufacturer
$34,647 Mazda Motor Corporation
$36,726 Hyundai Motor Group
$37,009 Subaru Corporation
$37,897 Renault-Nissan-Mitsubishi Alliance
$38,381 Honda Motor Company
$40,655 Toyota Motor Corporation
$49,507 Industry
$53,680 General Motors
$56,008 Stellantis
$57,170 Ford Motor Company
$58,672 Volkswagen Group (VW $39,720, Audi $60,625, Porsche $115,272)
$59,158 Geely Auto Group (Volvo)
$65,015 Tesla Motors
$65,180 Rivian
$68,974 BMW
$72,696 Daimler (Mercedes Benz)
$95,147 Tata Motors (Rolls Royce)
By Class
$25,094 Subcompact Car
$26,282 Compact Car
$30,632 Subcompact SUV/Crossover
$31,609 Mid-size Car
$32,564 Hybrid/Alternative Energy Car
$35,031 Compact SUV/Crossover
$40,942 Small/Mid-size Pickup Truck
$46,064 Luxury Subcompact SUV/Crossover
$46,897 Sports Car
$47,327 Minivan
$47,903 Mid-size SUV/Crossover
$48,314 Full-size Car
$49,507 Industry
$52,885 Van
$52,961 Luxury Compact SUV/Crossover
$56,168 Entry-level Luxury Car
$61,448 Electric Vehicle
$64,207 Full-size Pickup Truck
$72,546 Luxury Mid-size SUV/Crossover
$73,920 Full-size SUV/Crossover
$76,531 Luxury Car
$107,163 Luxury Full-size SUV/Crossover
$116,255 High Performance Car
$119,660 High-end Luxury Car
Quote:
Originally Posted by Igor Blevin
The thing is, can Tesla build EV economy cars, not just luxury cars.
I don't think Tesla will ever build a car for under $30K. Possibly in the near future the will sell the Model 3 at a price compatible with average transaction price of a hybrid car.
Sadly, a big part of Tesla's success was virtue signalling -- showing how green and modern you are.
Some of the stock decline is blowback from Musk's Twitter release. Who knows how much?
Tesla will be a premier EV company for as long as Musk is a top world innovator. Tesla is not going anywhere any time soon. They have a big head start on EV development and it is going to be a while before anybody catches them.
The thing is, can Tesla build EV economy cars, not just luxury cars. A lot of the luxury market is perception and ego driven, wanting to be seen in a particular make of vehicle. You don't want to run afoul of the wealthy, because they will migrate to a product that is more esteemed or "in".
Yes, selling economy cars could "cheapen the brand" - I recall the words of a Mercedes executive when they brought out the 190 - he conceded that Mercedes was overcharging for the car, but said that Mercedes did that to preserve the prestige of the brand.
Acura, Lexus and Infinity were set up by their parent companies to distinguish the brand in consumers' minds and allow them to charge more, like their premium car competitors already did. I suppose a company that starts out selling premium cars could always set up an Everyman division or brand to sell those and preserve the prestige of the parent brand. The premium bike brand Specialized is doing that, having announced a new Globe brand to sell less expensive e-bikes.
As far as the financial feasibility - I think Tesla could totally sell economy cars, if Musk wanted to. But he's the richest man in the world (or was until a couple of months ago), and they have the highest profit margins of any mass produced vehicle maker - so the room is there, but Elon Musk has shown little interest to date in making anything less than massive dollars... he's like a black hole, for cash . I think the only way they do it is if Tesla figures out more ways to lower their costs even further - so they still make big bucks for every economy car sold too.
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Up over $100 billion since 1 January
. I think the only way they do it is if Tesla figures out more ways to lower their costs even further - so they still make big bucks for every economy car sold too.
