Tesla Has Failed Massively As A Public Company

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Musk’s greatest skill is in raising capital, but in the past five years that new capital—in excess of $20 billion—has led to greater losses and a much, much more levered balance sheet for Tesla.

No value is being created for Tesla shareholders. It’s just a sea of red ink and constant dilution of shareholders and additions of new creditors.

Tesla stock’s massive plunge from last August's “funding secured” high of $387 per share only tells part of the story, however. According to market data supplier S3, Tesla has been the single most lucrative short in the entire U.S. stock market thus far in 2019.value at an alarming rate, not just shareholder value. I see absolutely nothing that will change Tesla’s value destructive ways, either. The end markets for Tesla’s products are clearly weakening.

The outlook is bleak for those who blindly follow Musk. Their blindness, however, is easily seen in their willingness to overlook Tesla’s history of value destruction. I believe a five-year period is the most relevant to judge any company. I compiled the figures at the end of this article from figures published in Tesla’s 2Q2019 10-Q and Tesla’s 2Q2014 10-Q. The conclusion is inescapable: It’s just not working for this company.

 

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This article is not about Tesla. It’s about why journos are journos and not entrepreneurs.

Didn’t Musk tried to make it private again but was “eaten alive” by stakeholders🤔

What about the shorts bankrolled by Big Oil? Tesla is in a growth phase. Can’t you see there bright future? I can.

Forbes has some hidden agenda against elonmusk

One assumes Forbes has editors. How mistaken! I know the writer was probably under a deadline and wrote some inconsistent things, but an editor shouldn’t have let this one see the light of day. Yet, here we are.

Who trusts numbers anymore anyway! Do I expect such a massive startup to return profits in 5yrs? What's clear is assets have exponentially grown. What were the first 5yrs like for GM, Ford etc?

Now I believe Trump when he says 'fake news'

Poor article, first point author makes is that the stock price has remained flat since 2014, several paragraphs later he casually drops the fact that in that time there was a 44% increase in shares outstanding (that fact was being used as part of another lazy argument.

And fossil car companies win 💀☠️💀

Now their solar panels are failing.

Wow

Exponential ramp, bro. It's innovation. H/T to PlainSite

They haven't they just rewritting the rules

Spend some more on R&D, investors don’t care about profits. Hehe

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Why Ron Baron is betting on his long-term Tesla investment'The company has grown 10 times in revenues since the beginning,' Ron Baron, CEO, chief investment officer and portfolio manager of Baron Capital, says in regard to Tesla. 'Next year, I think they're going to do $35 or $40 billion in revenues.' But they lose money on EVERY car they sell... It’s a fact negative coverage is bought and paid for propaganda by oil and competitors. They know how to manage capital and build. Never been bankrupt. That’s hard for a car company to claim. Uh huh
Source: CNBC - 🏆 12. / 72 Read more »