Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[Tenable]

I will see that and raise you a diecast Tesla semi.

Son of a!

 

[lklundin]

I wonder if Tesla can file a letter in opposition to the SEC's request. If so, I hope they do.

No, that would be widely be seen as Tesla trying "to suppress the truth from coming out".

I would like the judge to schedule a hearing, where she says something nice to Elon Musk and the businesses he has built and is building, then reprimands the SEC for trying suppress his free speech and wasting the court's time with a frivolous lawsuit when they have much more pressing issues at hand.

You know, show Elon Musk that his faith in the US justice system is not misplaced.

I could settle for less.

 

[Pezpunk]

Lol just left her a voicemail expressing my displeasure. Thank you for this.

please do not harass attorneys at the SEC. There is zero benefit to this action.

 

[lklundin]

That is a good word ‘tool’. A tool has no intelligence if its own and exists as part of somebody else’s toolbox.

On that note Stephen Colbert has referred to #45 as 'a wedge, because it is the simplest of tools'.

 

[bdy0627]

Who knows how this stock will move tomorrow and Thursday, but, leading into the model Y reveal, I will be shocked if it closes at a lower level on Thursday than it opens tomorrow. Buy the rumor hasn't really happened yet but shorts are well-versed in the stock action leading up to a major reveal event. They know there is a high likelihood of a substantial climb leading up to the event. I would expect some significant short covering. If there is no buying the rumor this time, then there is almost certainly no selling the news, especially anywhere near these levels. I'm going to be adding some weeklies tomorrow morning, hopefully after a MMD.

 

[humbaba]

please do not harass attorneys at the SEC. There is zero benefit to this action.

Scene 1
Location: SEC headquarters
Dialog
Crumpton: Why won't these activist investors leave me alone, I'm only trying to do my job.
* phone rings
Crumpton: Oh, that's Chanos. Must be important. Well, I'll delete these emails to clear my desk for whatever he's got for me.

 

[GOVA]

Any ideas about plans for megachargers?

Below is an quote from an article that I've found (Tesla Working With Semi Customers To Refine Mega Charger Plans @ Top Speed).

"It would appear as though several major freight-reliant firms would agree, as Reuters is reporting that Tesla is teaming up with the likes of Anheuser-Busch, PepsiCo, and United Parcel Service Inc. to build Mega Chargers at select company facilities. Between them, the three companies mentioned have over 250 Tesla Semis on pre-order. In total, nine major firms have placed orders for the all-electric vehicle, with standouts including Wal-Mart Stores Inc., Sysco Corp., UPS, and the grocery chain Loblaw Companies Ltd."

 

[Joe F]

they had plenty of chance to put the replies in the original charging brief, not as a response it would seem, unless the original was extremely weak

My feeling was that it was close to "Lier, lier. Pants on fire."

 

[Dan Detweiler]

If I had a nickel for every time a story headline called Tesla desperate I could take Tesla private at $420 a share.

Funding secured? (sorry, too soon?)

 

[MarcusMaximus]

I think the SEC, after reading Elon's powerful response, is now seriously worried about the judge dismissing their motion without even a contempt hearing...

It's funny but also infuriating that the same SEC who sent a demand to Tesla on 10am on a Sunday with a deadline later that day (!), who couldn't wait a single day to file their contempt motion (!!) - which motion removed $1.1b of market cap from Tesla shareholders (!!!) - the same SEC now wants to delay the resolution of this urgent matter another 7 days, when it suits them ...

Their argument:

Docket for United States Securities and Exchange Commission v. Musk, 1:18-cv-08865 - CourtListener.com

"Dear Judge Nathan:

I write on behalf of the United States Securities and Exchange Commission tor respectfully request the Court's permission to file a reply memorandum of no more than 15 pages by no later than March 19, 2019, in order to respond to new factual assertions and legal arguments raised in Defendant Elon Musk's Response to the Court's Order to Show Cause."​

Today's filing was the day the court ordered Elon to "show cause", it was his first chance to defend himself against the SEC's attack. Why is the SEC acting surprised that Elon is presenting facts and defenses??

But while the SEC's request is a bit unusual in the context of expedited contempt proceedings I think, I'd not be surprised to see the judge grant the request, unless Elon's lawyers are opposing it. She might also schedule a hearing.

Seems to me a show of weakness on the SEC’s part. If they thought they had presented a compelling argument before, they wouldn’t feel the need to take so much more time trying to put something together.

SEC is expecting to lose.

 

[Nocturnal]

Someone in the media thinks that VW is actually serious about EVs thanks to renewed declarations of commitment (how short memories can be).

Not a lot there IMO, but the author posits Tesla might make money by partnering with legacy manufacturers. While it is clear what the legacy manufacturer would have to gain from this, it isn't that clear how it would benefit Tesla. The premise that Tesla would make money through partnering seems unlikely given that the legacy manufacturers can't even reach Tesla's gross margins, and in a partnership Tesla would be giving up margin.

[edit to add: I originally missed that the author seems to be in denial about the M3SR as he says: "[Tesla] only competes in the luxury end of the market". Yeah, right]

Volkswagen Is Planning an Electric-Car Onslaught. Here’s What It Means for Tesla.

I think the only way that works is if they partner with a company that is strong in a market segment that Tesla is far from servicing. Random/bad example but say they want to make an electric Jeep Wrangler. It will be forever before Tesla could get around to making something like that, but selling drivetrains to power electric Jeeps could bring in revenue and not cannibalize existing Telsa products. (even if margins were fairly low)

 

[anthonyj]

Not sure if this was posted

 

[humbaba]

I think the only way that works is if they partner with a company that is strong in a market segment that Tesla is far from servicing. Random/bad example but say they want to make an electric Jeep Wrangler. It will be forever before Tesla could get around to making something like that, but selling drivetrains to power electric Jeeps could bring in revenue and not cannibalize existing Telsa products. (even if margins were fairly low)

That is a good point. However, I think considering all of their production capacity that they have or are currently building is not enough to meet demand that Tesla doesn't stand to gain anything from a partnership.

 

[Nocturnal]

That is a good point. However, I think considering all of their production capacity that they have or are currently building is not enough to meet demand that Tesla doesn't stand to gain anything from a partnership.

Yeah. I think at best it would be a 2024 thing once GF1 and GF2 are at full capacity etc. But for sure Tesla doesn't NEED to partner with anyone these days. They are probably better off waiting for a legacy maker to go bankrupt and acquire them.

 

[Fact Checking]

I would like the judge to schedule a hearing, where she says something nice to Elon Musk and the businesses he has built and is building, then reprimands the SEC for trying suppress his free speech and wasting the court's time with a frivolous lawsuit when they have much more pressing issues at hand.

That would be a heartwarming scene for a movie, but showing sympathy towards Elon in these proceedings could be prejudicial to the SEC and would create the appearance of partiality, which would risk reversal on appeal and her removal as a judge...

So what I'm hoping for is fully professional, just and equitable conduct from the judge as she is tearing the SEC a new one, judicially speaking.

 

[Krugerrand]

You give them products that are significantly superior to combustion related counterparts, at a cheaper price, that last longer. When he realizes that he is being an idiot (for his own benefit) if he doesn't go the electric route, he will willingly make the transition.

Dan

Or, my favorite for the most stubborn (or stupid): You kill every non-EV producer, then there is no choice.

 

[MarcusMaximus]

Not sure if this was posted

View attachment 385812

Well, let’s see if they can provide a more compelling argument this time around. Pretty lame that they asked for 5 business days after denying Tesla the opportunity for even 1. Strange that they’re suddenly not in such a rush.

 

[Carl Raymond]

Scene 1
Location: SEC headquarters
Dialog
Crumpton: Why won't these activist investors leave me alone, I'm only trying to do my job.
* phone rings
Crumpton: Oh, that's Chanos. Must be important. Well, I'll delete these emails to clear my desk for whatever he's got for me.

Private influence on the SEC would be direct corruption. I’m hesitant to believe the SEC would risk that. More likely the pressure to slow the assault on fossil fuels comes from above, the most powerful public institutions. Each member of the SEC would be carefully implementing their CYA instinct (cover your ass).

This is what happens when the elected government is sponsored by fossil fuel industries. The watering down of pollution laws is another symptom.

Facebook seems to get a free pass. Having read “Snowden”, this is likely because the relationship between Facebook and govt data monitoring programs is strong. Mutual back scratching.

 

[MarcusMaximus]

Private influence on the SEC would be direct corruption. I’m hesitant to believe the SEC would risk that. More likely the pressure to slow the assault on fossil fuels comes from above, the most powerful public institutions. Each member of the SEC would be carefully implementing their CYA instinct (cover your ass).

This is what happens when the elected government is sponsored by fossil fuel industries. The watering down of pollution laws is another symptom.

Facebook seems to get a free pass. Having read “Snowden”, this is likely because the relationship between Facebook and govt data monitoring programs is strong. Mutual back scratching.

Many of them are probably also wanting future jobs on behalf of the fossil fuel industry. Previous cred from going after Tesla would likely look good for such positions.

 

[Jeeps17]

Not sure if this was relayed here yet (didn't see it in the latest 3 pages ), but I found it to be an interesting read:

Why is The SEC Picking on Elon Musk Instead of Mark Zuckerberg?