Wednesday, June 7, 2017
Was I wrong about Tesla
With Tesla hitting new highs over $350, it seems only fair to admit that I was wrong when I thought it was overvalued at $300. But was I wrong? The truth is I don't know. TWhile the stock has run-up further, it has done so without the release of any fundamental information that would alter my valuation. The Model 3 is still an unreleased four door electric sedan. The battery and solar panel business are still highly competitive and not very profitable. The logistical problems of manufacturing and servicing the new Model 3s remains. So before I finally fall on my sword on this one, I need some actual information. Hopefully, that will be forthcoming in the next couple of months, but who knows. It is possible that the hype will continue to year end even if the Model 3 appears in only modest numbers.