TSLA - Tesla Motors Inc (NASDAQ)

[JohnDe]

That’s Apples play book, bring out a range of high demand products making decent profit margins and then divert excess cash to buy backs.

Tesla is getting to that stage where the cash will start building up faster than they can deploy it into new investments. Once that happens the only thing left to do is either clear debt, pay dividends or buy back shares.

1, clearing debt below certain interest rates is not attractive compared to buy backs if the share price is low.

2, paying Dividends is not as attractive either because the USA has a 15% tax on dividends.

3, buy backs don’t have to be consistent, where as people expect a certain level of consistency with dividends.

Agreed. And having seen my accountant yesterday, business debt is good for tax reduction.

 

[JohnDe]

 

[moXJO]

Damn it- I hope it doesn't run from here. I need it to stay down.

 

[JohnDe]

Damn it- I hope it doesn't run from here. I need it to stay down.

I read somewhere that November is usually good for stocks.

“Looking ahead to November, the conclusion of the third-quarter earnings season could bring more relief, and the month is historically one of the strongest of the year for stocks.”

 

[moXJO]

I read somewhere that November is usually good for stocks.

“Looking ahead to November, the conclusion of the third-quarter earnings season could bring more relief, and the month is historically one of the strongest of the year for stocks.”

I wanted to buy more tonight. I think there was usually a rally after midterms. Especially if it's a split.

 

[Value Collector]

I wanted to buy more tonight. I think there was usually a rally after midterms. Especially if it's a split.

Positive Inflation data caused a spike in USA, you might have missed your chance for now, or at least until the next news cycle causes people to panic of inflation again.

 

[moXJO]

Positive Inflation data caused a spike in USA, you might have missed your chance for now, or at least until the next news cycle causes people to panic of inflation again.

I picked some up last night but ran out of funds in the ib account. It's such a pain dropping money into ib.

Yeah the data was good. I actually missed that the announcement was last night. Otherwise I wouldn't have been so lazy to switch funds yesterday.


I expect a rally from here. I'll keep my finger on the button though.

 

[JohnDe]

 

[basilio]

I wonder about Elon Musks capacity to run Tesla and Twitter. As far as I can see Twitter is taking all his energy and could be a total disaster.
If the pressure Elon is putting on Twitter staff ends up sending the business south the financial implications for Elon would be serious.

On the bigger picture I think Tesla could lose public and investor confidence as Elon struggles with Twitter. The fall in share prices may be reflecting this.

 

[Value Collector]

I wonder about Elon Musks capacity to run Tesla and Twitter. As far as I can see Twitter is taking all his energy and could be a total disaster.
If the pressure Elon is putting on Twitter staff ends up sending the business south the financial implications for Elon would be serious.

On the bigger picture I think Tesla could lose public and investor confidence as Elon struggles with Twitter. The fall in share prices may be reflecting this.

Billionaires always seem to want to either buy a newspaper or a sports team, I guess Twitter is Elons version of buying a news paper.

 

[Belli]

I wonder about Elon Musks capacity to run Tesla and Twitter. As far as I can see Twitter is taking all his energy and could be a total disaster.
If the pressure Elon is putting on Twitter staff ends up sending the business south the financial implications for Elon would be serious.

On the bigger picture I think Tesla could lose public and investor confidence as Elon struggles with Twitter. The fall in share prices may be reflecting this.

Indeed. I have heard that the ultimatum to remaining staff (down 50% from the original number of 6,000) from the CEO to work harder or leave has resulted in 75% of the now 3,000 workforce opting to leave with three month severance pay. On the calcs that leaves around 750 workers the majority of which are on work visas.

The CEO is going to be busy, busy, busy.

 

[Belli]

Well, well, well.

After Elon Musk's Ultimatum, Twitter Employees Start Exiting

Hundreds of Twitter employees are estimated to be leaving the beleaguered social media company following an ultimatum from new owner Elon Musk that staffers sign up for "long hours at high intensity," or leave.

www.ibtimes.com

"The company notified employees that it will close its offices and cut badge access until Monday, according to two sources. Security officers have begun kicking employees out of the office on Thursday evening, one source said."

 

[moXJO]

The left has turned on elon along with the media. There's a lot of stories floating around.

Twitters workforce was spoilt rotten. Not that surprised it got whittled down.
The biggest danger to Elon is the amount of fake news being spread about him. He's the lefts new number one target. Bad for sales, revenue and reputation.

I've backed away from Tesla for a bit. I'll bite small chunks at the lows maybe. But lefties vitriol can be very very damaging.

 

[Gringotts Bank]

Looks like it's going to run. So long as the broader market stays bouyant.

 

[bluekelah]

Tesla is like bitcoin, still an overvalued super growth stock, pure risk on play. They may still be expanding but in Chinese and European markets have more or less lost leadership position in EV. Valuations should trend towards other big players in the market.

 

[JohnDe]

Tesla is like bitcoin, still an overvalued super growth stock, pure risk on play. They may still be expanding but in Chinese and European markets have more or less lost leadership position in EV. Valuations should trend towards other big players in the market.

GM will get there soon, they have a plan.

GM Targets EV Profitability By 2025

Despite continuing challenges with supply chains and an incredibly slow production ramp-up of new electric vehicles, General Motors is having a very good year financially and expects that to continue. During an investor day presentation in New York, CFO Paul Jacobson announced higher guidance for 2022 free cash flow and profits. GM also reconfirmed that it expects its EV lineup to be profitable by 2025.

One key step toward achieving the latter is by reducing lithium-ion cell costs to $87/kWh in 2025 and below $70/kWh by the end of the decade. GM is planning on capital expenditures of $11 billion to $13 billion annually through 2025 as it puts in place the manufacturing infrastructure to build 1 million EVs annually in North America by that time.

To achieve this, GM is retooling assembly plants in Detroit and Orion, Michigan; Spring Hill, Tennessee; Ramos Arizpe, Mexico and Ingersoll, Ontario. The automaker is also investing in 160 GWh per year of cell production through its Ultium Cells LLC joint venture. The cell JV will have four plants in Lordstown, Ohio, which is now in production; Spring Hill in 2023; Lansing, Michigan, in 2024 and a fourth location expected to be announced soon. Several component plants are also being reworked to produce EV parts.

 

[Value Collector]

Tesla is like bitcoin, still an overvalued super growth stock, pure risk on play. They may still be expanding but in Chinese and European markets have more or less lost leadership position in EV. Valuations should trend towards other big players in the market.

Tesla may be overvalued, but ut is growing so fast that it will eventually fill out its valuation and much more, Bitcoin however doesn't have anything of value inside it. So really Tesla is nothing like bitcoin.

 

[Gringotts Bank]

8%!

Elon is looking like a hero at Twitter because the previous boss (Agarwal) was a total chump. It's like they literally never did any work. They couldn't organize an edit button for tweets over a period of 5 years. Most website designers would probably be able to design and code an edit button in a day, wouldn't they? Any website designers here...?

 

[mullokintyre]

8%!

Elon is looking like a hero at Twitter because the previous boss (Agarwal) was a total chump. It's like they literally never did any work. They couldn't organize an edit button for tweets over a period of 5 years. Most website designers would probably be able to design and code an edit button in a day, wouldn't they? Any website designers here...?

Well, first of all the button has got to want to be an edit button.
mick

 

[JohnDe]

Franz von Holzhausen has been Tesla's chief designer since 2008. CNBC got a rare interview with him at the Peterson Automotive Museum in Los Angeles, which recently opened a new Tesla exhibit. He was a lead designer on the Tesla Model S, Model 3, Model X and Model Y as well as the Cybertruck, Tesla Semi truck and the second generation Roadster. Prior to Tesla, he worked in design at Mazda, General Motors, and Volkswagen. He speaks to CNBC about what it is like to have Elon Musk as a boss, what happened with the glass shattering windows at the Cybertruck unveil, and what is next for auto design.