What would be Tesla's AM Best Bond Rating?
So glad I own TSLA!!!
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- Mar 26th, 2024 10:00 pm
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- alanbrenton
- Deal Expert
- Apr 21, 2004
- 58648 posts
- 24637 upvotes
- brunes
- Deal Expert
- Dec 11, 2005
- 20134 posts
- 2962 upvotes
I am unsure of you realize that 2/3 of those things already exist and one has been on sale over a year ???
To be nobody but yourself - in a world which is doing its best, night and day, to make you everybody else - means to fight the hardest battle which any human being can fight; and never stop fighting. -- E. E. Cummings
- Bb0231
- Deal Addict
- Nov 8, 2017
- 3133 posts
- 1307 upvotes
On a Jan. 31 earnings call, [Musk] told investors, “I’m optimistic about being profitable in Q1,”
“Not by a lot, but I’m optimistic about being profitable in Q1 and for all quarters going forward.”
The company’s departing CFO Deepak Ahuja reiterated this, saying that even in scenarios with lower volumes and pricing Tesla had a “good shot” of being profitable going forward.
2016 didn't Musk also promise FSD hands-free driving from coast to coast in a year??
- treva84
- Deal Fanatic
- Nov 9, 2013
- 5882 posts
- 7458 upvotes
- Edmonton, AB
What happens in Q2, as the M3 international order book is exhausted and S/X sales continue to decline?
Did they revise down guidance?
What's the point of Shanghai GF3 if no one is buying their cars (inventory keeps growing)?
Their cash balance decreased by ~ 1.6 billion including that ~900 million bond repayment, so that means they are burning about 500mill a quarter at present. At 2.198 billion cash at the end of Q1, that's 4 quarters. Considering they need ~1.25 on the books for their ABL, that's 2 quarters. Are they going to raise capital?
How are they going to start an insurance business and have reserves on hand for claims, if they are going to run out of cash in 2-4 quarters? Have they started to get the regulatory approval required to sell auto insurance?
Did they revise down guidance?
What's the point of Shanghai GF3 if no one is buying their cars (inventory keeps growing)?
Their cash balance decreased by ~ 1.6 billion including that ~900 million bond repayment, so that means they are burning about 500mill a quarter at present. At 2.198 billion cash at the end of Q1, that's 4 quarters. Considering they need ~1.25 on the books for their ABL, that's 2 quarters. Are they going to raise capital?
How are they going to start an insurance business and have reserves on hand for claims, if they are going to run out of cash in 2-4 quarters? Have they started to get the regulatory approval required to sell auto insurance?
Buy right, hold tight. Keep calm and go long.
- MrMom
- Deal Guru
- Aug 17, 2008
- 10990 posts
- 13540 upvotes
Good one Sir.alanbrenton wrote: ↑ What would be Tesla's AM Best Bond Rating?
Update: TSLA 5.30/25 (Conv) Caa1/B-
Oct 10/18 $83.69
Dec 21/18 $85.08
Jan 3/19 $85.00
Apr 24/19 $85.00 last
Answer not a fool according to his folly, lest thou also be like unto him = Never argue with an idiot, they'll only bring you down to their level & beat you with experience
- MoneyHypeMike
- Deal Fanatic
- Jul 22, 2015
- 6184 posts
- 4811 upvotes
- Saint-Hubert, QC
Only solar roof and even that you could argue.
- SmartElectric
- Deal Addict
- Sep 8, 2014
- 1911 posts
- 2367 upvotes
- Toronto, ON
Tesla's age well. The firmware is updated regularly, so cars still feel new many years later.
Tesla depreciation is lower (ie better) than any other EV and on par or better than most premium gas offerings.
I had our Tesla S up for sale last summer, I received an offer within 17% of the price I paid 3 years earlier.
Depreciation on our previous Mercedes SUV was far worse than the Tesla in same time period.
Note : I was ready to sell, but my wife decided to stick with the S for a few more years, she wants a Model X and is willing to wait for prices on used market to drop.
- SmartElectric
- Deal Addict
- Sep 8, 2014
- 1911 posts
- 2367 upvotes
- Toronto, ON
https://ev-cpo.com/hunter/
Tesla listed these cars. The above site scrapes the Tesla site and is easier to use. With a paid subscription (which I used at the time) you get text notifications when a car matches your criteria. I got my notification at 11PM and clicked buy now in 10 minutes and beat out everyone to one of the lowest priced Model S85's ever sold by Tesla on the CPO program in 2015. That's how a RFD user does it! ;-)
- brunes
- Deal Expert
- Dec 11, 2005
- 20134 posts
- 2962 upvotes
Source? What you're saying above sounds like total fiction compared with market realities actually occurring.
Since the order book is not public, and was not commented on during the earnings call, and it totally disagrees with word on the ground, I call total BS.
Good thoughts on the subject - "“If I had asked people what they wanted, they would have asked for faster horses,” - https://cleantechnica.com/2019/04/14/th ... -3-demand/
Wow thanks a lot for this, it is very helpful.SmartElectric wrote: ↑ https://ev-cpo.com/hunter/
Tesla listed these cars. The above site scrapes the Tesla site and is easier to use. With a paid subscription (which I used at the time) you get text notifications when a car matches your criteria. I got my notification at 11PM and clicked buy now in 10 minutes and beat out everyone to one of the lowest priced Model S85's ever sold by Tesla on the CPO program in 2015. That's how a RFD user does it! ;-)
How do you feel about buying one with the AP 1.0 H/W? How much will a H/W upgrade cost any ideas?
To be nobody but yourself - in a world which is doing its best, night and day, to make you everybody else - means to fight the hardest battle which any human being can fight; and never stop fighting. -- E. E. Cummings
- treva84
- Deal Fanatic
- Nov 9, 2013
- 5882 posts
- 7458 upvotes
- Edmonton, AB
So what do you make of the previously reported delivery miss (only ~51k M3's delivered in Q1), in addition to the climbing inventory plus declining revenue, as outlined in the investor letter? What does that mean to you? To me, that means "we can't sell cars".
Buy right, hold tight. Keep calm and go long.
- treva84
- Deal Fanatic
- Nov 9, 2013
- 5882 posts
- 7458 upvotes
- Edmonton, AB
- alanbrenton
- Deal Expert
- Apr 21, 2004
- 58648 posts
- 24637 upvotes
Bulls, please share your insights as most analysts (may have ulterior motives) don't have anything good to say after the earnings release:
https://www.marketwatch.com/story/tesla ... latestnews
https://www.marketwatch.com/story/tesla ... latestnews
- Bb0231
- Deal Addict
- Nov 8, 2017
- 3133 posts
- 1307 upvotes
I guess used Tesla prices have one way to go: Down!
- Bb0231
- Deal Addict
- Nov 8, 2017
- 3133 posts
- 1307 upvotes
- ohnabatko
- Deal Addict
- Jan 19, 2007
- 1451 posts
- 811 upvotes
- Torontario
Analyst Calls Tesla’s Quarter One of the ‘Top Debacles’ in 20 Years of Tech
https://finance.yahoo.com/news/tesla-lo ... 30157.html
“At this point the writing is on the wall that Tesla will likely have to raise over $3 billion of capital in the near term to sustain its capex and debt needs given its current profitability path, which is another black cloud over the name with an inexperienced CFO now at the helm,” Ives wrote in a note to clients. “We continue to feel robotaxis, insurance products, and other endeavors are distractions from the growing demand woes that are not being addressed which is a critical worry of ours at this juncture.”
https://finance.yahoo.com/news/tesla-lo ... 30157.html
“At this point the writing is on the wall that Tesla will likely have to raise over $3 billion of capital in the near term to sustain its capex and debt needs given its current profitability path, which is another black cloud over the name with an inexperienced CFO now at the helm,” Ives wrote in a note to clients. “We continue to feel robotaxis, insurance products, and other endeavors are distractions from the growing demand woes that are not being addressed which is a critical worry of ours at this juncture.”
- ohnabatko
- Deal Addict
- Jan 19, 2007
- 1451 posts
- 811 upvotes
- Torontario
Here's My Rant About Tesla (More to Come)
https://realmoney.thestreet.com/investi ... 1-14937747
EBITDA: "makes me wonder if this entity is even -- to use Elon Musk's favorite word -- sustainable. ....there are any other car makers in the world that produced negative EBITDA In the first quarter, certainly none of the top 20 players did."
Capex and Capital:
Tesla is valued by the market as more of the former than the latter, but there is just no way to grow and create Musk's visionary dreams -- Model Y, Gigafactory Shanghai, Gigafactory 2 in Buffalo -- without injecting capital.
.....
Musk noted that there is "merit" to the idea of a Tesla capital raise at the present time. Any such raise involving equity -- whether in the form of a security convertible into equity or a straight stock sale -- would dilute current Tesla shareholders."
https://realmoney.thestreet.com/investi ... 1-14937747
EBITDA: "makes me wonder if this entity is even -- to use Elon Musk's favorite word -- sustainable. ....there are any other car makers in the world that produced negative EBITDA In the first quarter, certainly none of the top 20 players did."
Capex and Capital:
Tesla is valued by the market as more of the former than the latter, but there is just no way to grow and create Musk's visionary dreams -- Model Y, Gigafactory Shanghai, Gigafactory 2 in Buffalo -- without injecting capital.
.....
Musk noted that there is "merit" to the idea of a Tesla capital raise at the present time. Any such raise involving equity -- whether in the form of a security convertible into equity or a straight stock sale -- would dilute current Tesla shareholders."
- asa1973
- Deal Addict
- Jan 20, 2016
- 2028 posts
- 1013 upvotes
- Houston, TX
Exist in Musk dreams or where?
Y is on paper still, semi is delayed as well
https://electrek.co/2019/04/25/tesla-se ... -year/amp/
But that boring question, eh, let's talk million robotaxis, insurance...ir maybe Mars.
Make the face great again
- SmartElectric
- Deal Addict
- Sep 8, 2014
- 1911 posts
- 2367 upvotes
- Toronto, ON
LOL. Really? Our Tesla has the lowest depreciation compared to it's competition.
https://cleantechnica.com/2018/12/12/te ... mpetitors/
Post your counter please. Bring facts.
- kevdanga
- Deal Addict
- Oct 8, 2012
- 1685 posts
- 744 upvotes
- TBD
A lot of automakers had weak Q1s. Q1 is historically the weakest month for auto sales.
https://news.yahoo.com/auto-sales-march ... 00889.html
https://www.france24.com/en/20190402-us ... st-quarter
https://www.statista.com/statistics/671 ... ed-states/
Don't get me wrong, TSLA had a terrible Q1. However comparing QoQ is a cherry picked statistic.
https://news.yahoo.com/auto-sales-march ... 00889.html
https://www.france24.com/en/20190402-us ... st-quarter
https://www.statista.com/statistics/671 ... ed-states/
Don't get me wrong, TSLA had a terrible Q1. However comparing QoQ is a cherry picked statistic.
- MoneyHypeMike
- Deal Fanatic
- Jul 22, 2015
- 6184 posts
- 4811 upvotes
- Saint-Hubert, QC
For Tesla, QoQ is better because Model 3 started selling on "volume"... YoY doesn't reflect the reality.kevdanga wrote: ↑ A lot of automakers had weak Q1s. Q1 is historically the weakest month for auto sales.
https://news.yahoo.com/auto-sales-march ... 00889.html
https://www.france24.com/en/20190402-us ... st-quarter
https://www.statista.com/statistics/671 ... ed-states/
Don't get me wrong, TSLA had a terrible Q1. However comparing QoQ is a cherry picked statistic.
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