The 920 MM debt is a no biggie. They said earlier they would pay it in 50-50% cash and stock. But there is still an opinion of paying it 100% stock even if the price is way below $360. I think they will choose that option and dilute the stock 1% or so. That news probably will take the stock down a bit (not the dilution but the inability to pay cash) but nothing serious.
Here is my take on Tesla's near future, and mind you I have been right about its range in the last 12+ months.
"A few posts ago I said between 280-350. I am not sure about if it is really going to reach the upper end of that range, but the cult is still strong and it will take a while when the market realizes that there is not enough buying power from the public to spend it on such expensive cars. Then Elon will throw in a couple of tweets and news and the stock will recover.
My take is that after surviving last year, they should be OK for the next 12-18 months. They are making profits on the cars and as long as they don't spend on new cars, they can chug along. For the model Y they need a new loan, but Larry can provide it or other Silicon Valley mogul.
So no big news to take it down, no big achievement to push it up for long equals price range. The range just going to be a bit lower than the previous one. Now if it comes out that they were fudging the numbers last year, that could cause a 50 bucks hit...SeekingAlpha is too bearish, Electrec is too bullish, the truth is between those two. Tesla stopped being a growth company, but they can still be a niche car maker."
Here is my take on Tesla's near future, and mind you I have been right about its range in the last 12+ months.
"A few posts ago I said between 280-350. I am not sure about if it is really going to reach the upper end of that range, but the cult is still strong and it will take a while when the market realizes that there is not enough buying power from the public to spend it on such expensive cars. Then Elon will throw in a couple of tweets and news and the stock will recover.
My take is that after surviving last year, they should be OK for the next 12-18 months. They are making profits on the cars and as long as they don't spend on new cars, they can chug along. For the model Y they need a new loan, but Larry can provide it or other Silicon Valley mogul.
So no big news to take it down, no big achievement to push it up for long equals price range. The range just going to be a bit lower than the previous one. Now if it comes out that they were fudging the numbers last year, that could cause a 50 bucks hit...SeekingAlpha is too bearish, Electrec is too bullish, the truth is between those two. Tesla stopped being a growth company, but they can still be a niche car maker."
