Yh I’m not suggesting holding usd. My issue is a company i love atm is outrunbibg inflation but u was concerned that eventually it will catch up with tesla. But when I saw that tesla had gone big on crypto I think that could be really good at insulating tesla from Inflation some what. I just don’t want to be left holding an asset that on paper is increasing in value built in reality isn’t out running the currency pair change.
Is anyone else concerned about this or am I just reading too much into it?
Tsla without Bitcoin is trading at the same levels at Tsla with Bitcoin. I like reading and analysing as much as most smart ppl on r/investing Reddit but I also learnt to pull the trigger, cos the markets overall dont make much sense. We got 0% interest rate and loads of rich ppl trying to park their cash . Even the debt market ppl are looking for more (!!) debt to invest into . Think about what would a very rich person do? Elon moved to Texas - 0% income tax, his wealth is mostly in Tsla stonks and cash, he was bearish on Bitcoin until late December (update: see MicroStrategy guy below) --another techie changed his mind. So yea.
I wouldnt try to rationlise whatevr is going on in the shortterm. I “lost a few grand” today only for it all to be “corrected” in an hour or so. VIX spiked a little. Long run TSLA is a GOAT.
Lol who’s going all in on one stock? I am concerned about the GBPUSD currency pair. Its now at 1.385 and only going o e way. My original point was I love tesla and hating the dollar and its inflation
I don’t really see it Toyota took too long to transition to EVs. I think it will be a massive struggle for them to compete with Tesla. Look at Audi’s efforts on range compared to Tesla as an example. I think Rivian is most likely to be Tesla’s biggest competitor if they can get autonomous driving working and maybe GM with Cruise in the US. But both need to do well on range and battery innovation.
I wouldn’t discount Toyota so easily. The sell more cars than anyone else. I can see them selling multiple millions of EV in a few years. They have dealer infrastructure all over the world and totally dominate large parts of the middle east/Asia
They obviously been working on this a while, they might be a bit behind on getting an EV to market but they have a massive headstart in the business of selling cars
Toyota (TM) has over 40% share of the total alternative fuel vehicle market, which includes a 75% share of the fuel cell market and a 64% share of hybrids and plug-ins
On the currency risk I wouldn’t worry about it too much, if Tesla is going to justify it’s valuation it’ll have to be a leading car manufacturer in basically every market so it’s income will be very diversified currency-wise. Also if you’re bullish on Bitcoin then it’s cash reserves will be quite well diversified. So if the dollar weakens it’ll push up the share price a bit because their non dollar earnings become more valuable so it shouldn’t have a huge impact.
If Tesla were to justify the current valuation they’d have to be bigger than all the other car manufacturers combined and a consumer brand across several major industries. They may well do that, but how long would that take realistically. I’d say probably a decade, but they’re priced as if already there IMO. They will need to 30x car sales just to match Toyota for example.
You have to remember tesla isn’t a car ckmpanybits a tech company that sells cars. The tesla technology is so superior. The battery day event shows you how far ahead they are