*Can't
Is This The End Of Tesla ?
- Thread starter Stockolio
- Start date
*Can't
Their 10-Q is baaaaad.
--2.15 B in inventory. That is a lot of cars
--May need to raise money but can't.
--Profit margin is closer to 10% per car.
--On a QoQ comparison Tesla increased revenues by 1 BILLION dollars and managed to lose just as much money.
https://seekingalpha.com/filing/4458712
--2.15 B in inventory. That is a lot of cars
--May need to raise money but can't.
--Profit margin is closer to 10% per car.
--On a QoQ comparison Tesla increased revenues by 1 BILLION dollars and managed to lose just as much money.
https://seekingalpha.com/filing/4458712
I learned that in business not the sales, but the profits are important. Double your sales is easy, double your profits is not. You cannot live from sales, you live from profits.
As a comparison, how many new car companies have been started in the last twenty years or so and have survived ?
They absolutely can (and will) raise money. It will be another convert or a secondary. Possibly a PP, but MBS kinda fvcked that up with the Khashoggi murder. I think that a 5% convert at 285 would be oversubscribed.
That is the point, none. It is very hard to make profits in the car making business and lots of the dealers do it on services, not by sales.
It is like fast food and soda drinks. They make most of their money on sodas, not on burgers.
As I said in my earlier post, Elon picked the wrong business to make money (for investors). But making money isn't his goal apparently and admittedly....
Investors aren't THAT stupid though. If Tesla ends up the Apple of the car industry that would be somewhat insane.
Comparing Musk with Steve Jobs is a huge insult for Jobs.
I have one word for that, Uber.
Tesla is like Bitcoin. The crazy gain times are already behind us. Now it is all about fundamentals, and they just don't exist.
2B cars in inventory, when the dream was making them for order only...
pecker;
the 2B figure is cars that were ordered and not yet delivered. it was the European logistic delivery debacle. again; cars have an owner; they are not pre made. the figure is up 91% YOY thanks to delivery issues.