Big brother Tesla

[Psamathe]

Tesla reports steep drop in profits despite US rush to buy electric vehicles
A rush to buy electric vehicles before a US tax credit for them disappears had boosted Tesla’s flagging sales, leading to the automaker exceeding some of Wall Street’s projections in its most recent financial quarter. Yet the company failed to meet earnings expectations and its stock fell in after-hours trading.

And given that "...before a US tax credit for them disappears had boosted" means that boost will soon disappear, outlook looking even worse.

 

[Pblakeney]

Is this a sign that Tesla is about to boom, or is Musk cashing in while he can? I guess the latter.

Company Enterprise value, $1.45T. Musk salary request, $1T. Company revenue $96B.
Those figures just don't make sense to me. Just as well I had no inclination to be an accountant.

 

[Psamathe]

Is this a sign that Tesla is about to boom, or is Musk cashing in while he can? I guess the latter.

Company Enterprise value, $1.45T. Musk salary request, $1T. Company revenue $96B.
Those figures just don't make sense to me. Just as well I had no inclination to be an accountant.

Norway doesn't think it makes any sense anyway (or at least their sovereign wealth fund)

Elon Musk’s $1tn Tesla pay deal to be rejected by huge Norway wealth fund
Norway’s sovereign wealth fund has said it will vote against a $1tn (£765bn) pay package for the Tesla chief executive, Elon Musk.

The fund, which is the biggest national wealth fund in the world, said that while it appreciated the “the significant value created under Mr Musk’s visionary role” it would vote against his performance award.

“We are concerned about the total size of the award, dilution and lack of mitigation of key person risk – consistent with our views on executive compensation,” it said. “We will continue to seek constructive dialogue with Tesla on this and other topics.”

 

[CXRAndy]

If he grows the company from $1tn to $8.5tn in 10 years

I would have thought the pay package through share allocation seems fair.

 

[Psamathe]

Listening to news reports of the Tesla Board meeting it sounded more like a 3rd Reich rally than a board meeting, infactuated crowds chanting "Eeeelon, Eeelon, ...". Not an investable company, more a movement driven by far-right fanatics.

Fair chance serious investors will be slowly reducing their shareholding, but very slowly so as not to impact the share price as they'd then be shooting themselves in the foot.

 

[CXRAndy]

Or he could just propel the company onto the projected outcomes.

Robotics, automation, AI are going to be far far more valuable than just the cars.

 

[Pross]

So is Musk's "$1 trillion in shares" basically just the investors in Tesla saying to him to stop with the political rubbish / neo-nazism to protect their investment i.e. stop saying stuff that is hitting our investment and we'll make it worth you while? As above, I'm really struggling to grasp how the company is valued so highly based on it's actual revenue. It reminds me of some of the late 90s tech bubble. I can't see how they are going to increase its value when the market is only going to become more competitive, Tesla doesn't seem to really be an innovator anymore.

 

[Psamathe]

I can't see how they are going to increase its value when the market is only going to become more competitive, Tesla doesn't seem to really be an innovator anymore.

In EV market Chinese companies are significantly ahead of Tesla (eg fast charging). I suspect that it's Musk's ideas of "Robo-taxis" and human format robots where he sees Tesla's future and thus his prospects for the $1tn. But it's a big change of direction into markets that don't exist and technology that doesn't exist changing the company from "investment in an established business with established market" into a high risk prospect ie "take a flyer".

 

[briantrumpet]

In EV market Chinese companies are significantly ahead of Tesla (eg fast charging). I suspect that it's Musk's ideas of "Robo-taxis" and human format robots where he sees Tesla's future and thus his prospects for the $1tn. But it's a big change of direction into markets that don't exist and technology that doesn't exist changing the company from "investment in an established business with established market" into a high risk prospect ie "take a flyer".

The Muskaverse.

 

[Dorset Boy]

It's not just hte chineses EVs that are better than the Swasticars. Most other companies EVs are now better and far less toxic brands.
Teslas share price is hugely volatile, it swings 3-4% most days.
His ludicrous remuneration package is based on them successfully developing driverless taxis, the autonomous robots and his AI product.
However, globally his brand is now toxic.

 

[Psamathe]

... the autonomous robots and his AI product.
However, globally his brand is now toxic.

Autonomous robots controlled by a far-right AI that spends more time hallucinating than considering real world sound excellent (really). No longer will Tommy Robinson's sycophants have to spend an afternoon in the rain standing in a protest but Musk will just step in and ship 10,000 robots to do the actual protest whilst the supporters can sit home warm and dry. Numbers attending the protests are then only limited by how fast Musk's factories can produce the things.

So we have a massive robot army controlled by Musk's far-right alter-ego doing Musk's bidding ... no worries there.

 

[monkers]

The Muskaverse.

The words Trump & Musk together never did put me in mind of a pleasing fragrance.

 

[Pblakeney]

Autonomous robots controlled by a far-right AI that spends more time hallucinating than considering real world sound excellent (really). No longer will Tommy Robinson's sycophants have to spend an afternoon in the rain standing in a protest but Musk will just step in and ship 10,000 robots to do the actual protest whilst the supporters can sit home warm and dry. Numbers attending the protests are then only limited by how fast Musk's factories can produce the things.

So we have a massive robot army controlled by Musk's far-right alter-ego doing Musk's bidding ... no worries there.

Didn’t George Lucas do a documentary on that? 😉

 

[icowden]

It's not just hte chineses EVs that are better than the Swasticars. Most other companies EVs are now better and far less toxic brands.

Whilst not being an Elon fan, that isn't true. Tech wise Tesla is still the market leader. Other brands are catching up fast - the Chinese ones. The traditional car makers are still producing far inferior stuff for the same price.

 

[Psamathe]

Whilst not being an Elon fan, that isn't true. Tech wise Tesla is still the market leader. Other brands are catching up fast - the Chinese ones. The traditional car makers are still producing far inferior stuff for the same price.

Chinese electric vehicle (EV) maker BYD has reported annual revenue for 2024 that has leapfrogged rival Tesla.
from https://www.bbc.co.uk/news/articles/cd65d583qvzo.amp

And that's just one company. Tesla's market share much lower and declining.