Crazy EV Company valuations.

FC · 11-12-2021, 12:04 PM

https://www.yahoo.com/finance/news/i...203740250.html

SCA · 11-12-2021, 12:27 PM

100%, but will not complain.

JST · 11-12-2021, 01:11 PM

Quote:

Originally Posted by FC

https://www.yahoo.com/finance/news/i...203740250.html

I don't understand the Tesla valuation. It makes no sense other than as a statement on how aspirational Tesla is as a brand (and as a statement on the nature of bubbles in the stock market). Maybe dan has a better take, though.

Rivian makes more sense to me. Valuations are always based on potential, and Rivian has a great product, solid investment support, and seems to be doing everything right in terms of launching a new manufacturer.

Lucid falls into that same camp; it's a little odd to lead with the sedan over the SUV in 2021, but their tech does seem to be meaningfully better in key ways and they seem to be run by ppl that know what they are doing.

The rest of those? Ugh. Dross and dreck.

kognito · 11-13-2021, 08:47 AM

I have always wondered how many have put money in Tesla, thinking it is a way to have some of SpaceX's action.

I mean, if SpaceX became a public company would Tesla drop significantly?

SARAFIL · 11-13-2021, 01:21 PM

Quote:

Originally Posted by kognito

I have always wondered how many have put money in Tesla, thinking it is a way to have some of SpaceX's action.

I mean, if SpaceX became a public company would Tesla drop significantly?

SpaceX is not owned by Tesla though, it’s fully independent from what I can tell. Sounds like there are some transactions across the various Elon Musk businesses but if SpaceX takes off, that doesn’t directly benefit Tesla.

kognito · 11-14-2021, 08:33 AM

Quote:

Originally Posted by SARAFIL

SpaceX is not owned by Tesla though, it’s fully independent from what I can tell. Sounds like there are some transactions across the various Elon Musk businesses but if SpaceX takes off, that doesn’t directly benefit Tesla.

Yes, but there are some stupid people spending/investing stupid money

robg · 11-16-2021, 02:59 PM

Quote:

Originally Posted by JST

I don't understand the Tesla valuation. It makes no sense other than as a statement on how aspirational Tesla is as a brand (and as a statement on the nature of bubbles in the stock market). Maybe dan has a better take, though.

Rivian makes more sense to me. Valuations are always based on potential, and Rivian has a great product, solid investment support, and seems to be doing everything right in terms of launching a new manufacturer.

Lucid falls into that same camp; it's a little odd to lead with the sedan over the SUV in 2021, but their tech does seem to be meaningfully better in key ways and they seem to be run by ppl that know what they are doing.

The rest of those? Ugh. Dross and dreck.

When I've watched some analysts who are bullish on Tesla, the logic seems to be that they think Tesla will be able to monetize their fleet of cars as "robo taxis", and through "network effects" essentially own the entire market. There's a lot of leaps of faith and gaps in understanding involved in that logic but that seems to be the only explanation I've heard. Other than that it just comes down to lots of "magical thinking" amongst retail investors plus trend-based day trading im sure. Going short on Tesla or buying long dated put options would seem to be a near sure- thing bet but as the saying goes "the market can stay irrational longer than you can remain solvent".. Personally I have no interest in betting for or against Tesla stock.

In general, there seems to be a notion that these new EV companies will "disrupt" the legacy companies and take all of their business. Instead, what seems more likely is that with the current high valuations available, and the comparative ease of designing/developing an EV (vs an ICE car) there will be a more competition. Eventually, some of these companies wlll go bust...and that could include some legacy firms as well but I certainly wouldn't want to try and bet on the winners and losers yet. I do think there's a general misconception that whoever develops an EV with the longest range automatically wins. Car buyers aren't that one dimensional. Regardless, this should be a great time for consumers as all these new competitors enter the market. Tesla, for their part, helped kickstart some positive (and negative) trends so I'm excited to see where these new companies will push the industry.

FC · 05-10-2022, 11:45 AM

Well they are all getting their butt kicked lately.

SCA · 05-10-2022, 10:58 PM

Quote:

Originally Posted by FC

Well they are all getting their butt kicked lately.

Tell me about it… my Rivian IPO is in the toilet.

11-12-2021, 12:04 PM	#1
FC Solving problems Join Date: Oct 2003 Carmudgeonly Ride: M5 / 718 GTS / Cooper S / GTI / LR4 Location: Metro Boston Posts: 25,255	Crazy EV Company valuations. https://www.yahoo.com/finance/news/i...203740250.html

11-13-2021, 08:47 AM	#4
kognito older fart than ZBB Join Date: Oct 2003 Location: On the road again Posts: 8,899	I have always wondered how many have put money in Tesla, thinking it is a way to have some of SpaceX's action. I mean, if SpaceX became a public company would Tesla drop significantly? __________________ 2017 GMC Sierra 1500 SLE 2020 Fusion Titanium

11-12-2021, 12:27 PM	#2
SCA Jaded Join Date: Oct 2003 Posts: 9,029	100%, but will not complain.

05-10-2022, 11:45 AM	#8
FC Solving problems Join Date: Oct 2003 Carmudgeonly Ride: M5 / 718 GTS / Cooper S / GTI / LR4 Location: Metro Boston Posts: 25,255	Well they are all getting their butt kicked lately.