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TSLA - Tesla Motors


Palantir

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The thing is that I don't know where Tesla is going from here.

 

They are bleeding cash and the bond markets are effectively closed for them. They have an SEC investigation. The only way the take private happens is if the Saudis are truly nuts.

 

It's clear that Musk is burned out and possibly loosing it. It's obvious that he should just take a vacation, maybe go to Bora Bora or something, recharge his batteries and get control of his shit. That's not gonna happen cause Musk is an action junky and Bora Bora is probably the equivalent of supermax prison for him. Even if he were to take a vacation, at the end he'd come back and all this will resume because Musk must do Musk.

 

The could bring in a COO. But what good would that do? The COO would get overwritten all the time cause to Elon it must be the Musk show. Probably the only reason that Shotwell is able to do her thing at Space X is because Musk is too busy with Tesla.

 

As someone else mentioned earlier any other BoD would have fired Musk already. But with a board of overpaid cronies that much less likely at Tesla. I think at this point there is a non-negligible chance that they will actually run the company into the ground.

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On a more serious note, I do wonder if the Tesla/Musk brand is becoming more of a joke rather than being innovative/cool...

Honestly there haven't been enough Teslas made and on the road long enough to make any judgement about reliability. But rushing to build cars in order to meet some arbitrary self imposed target is not condusive to building quality product.

 

Things could go either way. But they have to get it together. Customers won't be impressed with these sort of issues on a 50K usd product.

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musk said the automotive industry has a lot of room for increased efficiency, I think he is learning achieving it is harder than he thought!

 

Tesla is a poster child for inefficiency by any productivity measure. Elon also still thinks that no one can do a better job as CEO of Tesla than he does. The god complex is alive and well. I think him running the company has a lot to do with the failed production ramps.

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https://www.bbc.com/news/world-europe-45292028

 

Look out Telsa

 

"The firm behind the famous AK-47 assault rifle presented the eggshell-blue prototype vehicle, the CV-1, at an event near the capital, Moscow."

 

They need a new manager for their product design team.

 

Yes, that is one ugly car! You couldn't do worse if you tried to design an ugly car.

 

Edit: It make the Bolt look sexy!

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After considering all of these factors, I met with Tesla’s Board of Directors yesterday and let them know that I believe the better path is for Tesla to remain public. The Board indicated that they agree.

 

Wow... the phrasing of this... The guy has reached unprecedented heights of self-righteousness.

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Hey all:

 

Interesting that TSLA is now going to stay a public company..

 

Before this, I thought the possibility that TSLA would eventually become a ZERO was pretty remote (1-2%).

 

NOW?  A very real possibility.

 

Previously, Mr. Musk was an asset to the company.  Now?  I would argue he is rapidly becoming a major liability.

 

There are rumors TSLA is cut off from the credit market.

 

If the stock takes a major hit, they are going to face dilution issues.

 

I simply see NO WAY that they don't need to raise capital in the next 12 months.  How much they need is open to debate.

 

I've had people in the auto industry tell me that TSLA needs to spend a TON of money on building out their physical plant.  Perhaps TSLA has gone to the next level and instead of building factory buildings, they will simply erect giant circus tents as needed?

 

The tear down of the model 3 seems to support the assumption TSLA needs to spend more on physical plant, as the fit & finish was worse than GM even!

 

OR what if TSLA needs to have financial metrics near the rest of the industry?  A P/E of maybe 8?  What price would it trade at then?

 

Compare TSLA to F & GM when they were first getting going....the legacy auto makers made TONS of $$$$$, they didn't lose it.

 

 

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Doesn't Waymo seem to be a vastly different model than Tesla though there are some potential areas of intersection. So any comparison is not apples to apples.

 

 

It's hard to say if 4% of total miles is a valid assumption. Also, is the total miles mentioned meant to be total taxi miles or auto miles or overall miles? Do you have access to the report?

 

 

I don't know the market size for last mile delivery, but a 90 B seems to be a tad high assuming say a 30 to 40% market share (just picking a reasonable number from thin air.) I am doubtful if Waymo can get higher than that market share with so many other companies working of self driving tech.

 

 

Btw, I know this is meant to be sarcastic regarding TSLA and I share that sentiment ;)

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There are rumors TSLA is cut off from the credit market.

 

If the stock takes a major hit, they are going to face dilution issues.

 

I simply see NO WAY that they don't need to raise capital in the next 12 months.  How much they need is open to debate.

 

 

With the 2025 bond at 87, I'd certainly think going for more debt is out of the question.

 

Didn't Musk use almost half of his TSLA shares as collateral for loans? Must add a shit ton of stress as he likely put that money in his other high risk ventures. Tesla stock cratering could wipe him out. So no wonder he is trying to prop up the stock price and is near a complete mental breakdown. I'd assume that is why he isn't raising equity capital either and is just hoping for the stock to magically do better asap.

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