<
https://freedium.cfd/https://medium.com/predict/this-is-how-tesla-will-die-d0ca25199b9f>
'It's fair to say that Tesla isn't doing so well. Thanks to an ageing lineup
and a ket-fuelled, government-destroying, Nazi-saluting CEO, Tesla sales are
plummeting across the entire globe. Their revolutionary 4680 battery has failed
to materialise and is now obsolete. Their Cybertruck is such a sales flop that
they are already pulling its manufacturing capacity. Thanks to Musk's dogmatic
"vision only" approach to self-driving, Tesla FSD is far from being an industry
leader and miles away from being functionally safe. As a result, Tesla's
Cybercab and self-driving revolution is now all but confirmed as vapourware.
Everything that once made Tesla one of the highest-valued companies is falling
apart. It looks like Tesla is spiralling towards death. But can such a giant
really die? Oh yes, and this is how.
Let's start with the reality of Tesla.
In 2024, Tesla's annual net income was only $12.6 billion (though some sources
put it as low as $7 billion). The vast majority of this was from their car
sales. However, as of the time of writing, Tesla is valued at $852.43 billion!
That means its P/E ratio (a ratio of company value to its net income, used to
determine if the company is over or undervalued) is a staggering 67.65!
Let's compare that to Toyota. They are far larger than Tesla and have far more
impactful upcoming EV and self-driving technology than Tesla. Last financial
year, their net income was a massive $29 billion! However, they have a much
more realistic value of $243.56 billion, giving them a P/E ratio of 8.40, which
is close to the average for the automotive world.
By comparison, Tesla's value makes no sense. It offers nothing that Toyota
doesn't also offer. The only reason Tesla is so stupidly valuable is because it
is treated as a speculative meme stock.'
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
