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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
Tesla to See Growth, Margin Improvement Despite Near-Term Headwinds, Wedbush Says
Mar 13, 202412:26 EDTTesla is likely to see growth and margin improvement in the coming quarters despite the near-term headwinds it is facing, including the slowdown in global demand for electric vehicles, Wedbush said in a note Wednesday.
Analysts said the negative sentiment around the company and Chief Executive Elon Musk is way overdone.
"The stock is way overshooting on the negative front as the demand story for Tesla is more in stabilization mode heading to the rest of 2024, price cuts are moderating, battery costs/production is showing strong cost efficiencies, and a Model 2 is on the roadmap for the next year," Wedbush said.
The demand will remain sluggish during Q1 while the Berlin arson shutdown and the Delaware court's ruling on Musk's compensation package add to the near-term issues, according to the note.
Wedbush said that the risk-reward for Tesla is very attractive with AI and full self-driving progress, potentially leading to a valuation surpassing $1 trillion as the company's growth story unfolds further.
Tesla's board must revise the compensation package, devise a plan for Musk's voting share, and relocate Tesla to Texas to address investor concerns and improve the company's outlook, analysts said in the note.
Wedbush reiterated its outperform rating on Tesla and kept the price target at $315.
The company's shares were down 3% in recent trading.
sorry, guys
i am just waiting to get out of my 206 B/W, then i am totally out, no buying at 160 or 144
if TSLA moons after that, very happy for you all and it's my loss
non-stop ongoing daily drama nonsense after nonsense last 3+ years just wore me out
(click on dislike, if you want)
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No hurt feelings here.
I used to want to acquire more shares than what I have currently, but I'm no longer interested in doing so, and am warming up to the idea of selling out of my position entirely. I see a lot of potential, which gives me pause, but I see a lot of dark clouds, too. Either way, I will forever be grateful to Elon and Tesla for how they changed my life, and I continue to be a fan of their products, but I am cooling to the idea of Elon as the CEO for a number of reasons beyond his politics, his many great qualities notwithstanding.
But as far as this thread goes, I digress...
I don’t blame you, feel the same. I’m too deep in to quit (CB $328), so I stick around to scalp some of it back though CCs and hoping for a turnaround. Totally missed the NVDA/SPY/QQQ run since I’m fully trapped
Do I hear the sounds of capitulation....
That can be a good sign
That can be a good sign
HowDo I hear the sounds of capitulation....
That can be a good sign
it signals a bottom
Capitulation and bottoms often go hand-in-hand.
I’m not celebrating anybody capitulating, just picking up the signal to be prudent that a bottom may be neigh.
The drama was bad in 2016 thru 2019 when the threat of bankruptcy was constantly trumpeted around.
So, I should take whatever synthetic green credit I have on those Jan '25 +p180/-p240 spreads, re-sell something more appealing when that new neighborly low is in? I was looking for a float back to mid 180s, 190's in the coming week(s), seems not probably without buyers wanting shares. Dealer's still have work to do though, I assume they too are exposed. No?
It's an interesting time for sure.
The Bull narrative that the auto business alone was worth enough to justify TSLA's valuation (in the 700-1000 billion valuation range) really crumbled over the past year. Tesla made a fundamental big mistake by thinking the 3/Y, models that had been out for a while at that point, were good/new enough to draw enough demand to continue ramping them in the face of rising inflation. They waited too long for the compact car. They took too long with the Cybertruck. And the end result is a one to two year gap with growth is facing major headwinds.
Energy has taken too long to ramp to shore up the valuation in face of the auto business decline in profitability. Then add in CEO-related self inflicted wounds from turning off investors and potential customers to being too stubborn to recognize that alternative methods are needed to meet production goals (traditional advertising). Just my own theory but I think the reason Zach left is that he fundamentally didn't agree with Elon on running Tesla today as a start up. Elon's focused on autonomy/AI/robotics/etc and is willing to sacrifice the auto business (in regards to it's profits/earnings) without a second thought or even putting in a ounce of effort. I don't think Zach agreed with that
. Just my own theory.But the reality is after 2024, that will all behind the stock. Cybertruck will be at decent ramp. Compact car will be 2nd half 2025. Energy will have ramped in a major way due to Shanghai Megapack factory being online. Interest rates will be down helping organic demand. Entirely possible that ASP stabilizes as rates come down to where COGS decline more and thus we get margin expansion once again. And FSD will have another 9-12 months of advancements which given it's rate of progress, translate to some truly impressive software at that point.
2024 is likely going to suck (or I guess I should say continue to suck) but I'm positioning myself through options to ride a major rally in 2025 and beyond. The main difference now is while I'm positioning for a major rally, I'm going to make side income in the meantime even though that'll likely mean I cap myself on gains if the stock goes significantly higher than it's ATH in 2025 or 1st half 2026....and after the past 2 and half years of this stock. I'm totally fine with that. Not even remotely thinking of selling my current position though at today's valuation or even a 300/share valuation.
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thenewguy1979
"The" Dog
TSLA is the top dog today.....but in the wrong direction.
It's an interesting time for sure.
The Bull narrative that the auto business alone was worth enough to justify TSLA's valuation (in the 700-1000 billion valuation range) really crumbled over the past year. Tesla made a fundamental big mistake by thinking the 3/Y, models that had been out for a while at that point, were good/new enough to draw enough demand to continue ramping them in the face of rising inflation. They waited too long for the compact car. They took too long with the Cybertruck. And the end result is a one to two year gap with growth is facing major headwinds.
Energy has taken too long to ramp to shore up the valuation in face of the auto business decline in profitability. Then add in CEO-related self inflicted wounds from turning off investors and potential customers to being too stubborn to recognize that alternative methods are needed to meet production goals (traditional advertising). Just my own theory but I think the reason Zach left is that he fundamentally didn't agree with Elon on running Tesla today as a start up. Elon's focused on autonomy/AI/robotics/etc and is willing to sacrifice the auto business (in regards to it's profits/earnings) without a second thought or even putting in a ounce of effort. I don't think Zach agreed with that
But the reality is after 2024, that will all behind the stock. Cybertruck will be at decent ramp. Compact car will be 2nd half 2025. Energy will have ramped in a major way due to Shanghai Megapack factory being online. Interest rates will be down helping organic demand. And FSD will have another 9-12 months of advancements which given it's rate of progress, translate to some truly impressive software at that point.
2024 is likely going to suck (or I guess I should say continue to suck) but I'm positioning myself through options to ride a major rally in 2025 and beyond. The main difference now is while I'm positioning for a major rally, I'm going to make side income in the meantime even though that'll likely mean I cap myself on gains if the stock goes significantly higher than it's ATH in 2025 or 1st half 2026....and the past 2 and half years of this stock. I'm totally fine with that. Not even remotely thinking of selling my current position though.
And this is a perfect encapsulation of why I haven't sold already. Very well put.
so i guess MP doest matter anymore… even during the opex week
ChiefRollo
Member
I fear EM will continue to disregard commentaries on earnings as he see Tesla as a conglomerate of many startups; responsible allocation of investments in synergistic initiatives and execution to him are key.
Although just a car company, I am curious what’s RIVN’s P/E?
Rivian doesn't have one. You have to have positive earnings just to have a P/E. That's why their P/E is listed as N/A at the moment (and will be for years cause yeah they aren't turning a profit for years lol)
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