Why I'm Bearish on TSLA

diggydog
2022-11-13

Three reasons why I'm bearish on $Tesla Motors(TSLA)$ .

First, Elon Musk is too busy playing with Twitter and he will need to sell his TSLA shares to fund his new ambition. 

Second, other that new EV companies, TSLA also facing fierce competition from big old competitors like $Ford(F)$   ,  $Volkswagen AG(VWAPY)$  , and $Bayerische Motoren Werke AG(BMWYY)$  . The big guys already jump into EV and gain more marketshare. Well established auto companies have enough capital to invest in EV.

Third, TSLA valuation is super premium to begin with. TSLA can't grow indefinitely. As TSLA grow and sell more cars, it will become more like auto company. As we can see, auto company valuation is much less than what TSLa valuation is now.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Bulltrader
    2022-11-14
    Bulltrader
    after elon sell enough. then buy.when he talk dont buy
  • MortimerDodd
    2022-11-15
    MortimerDodd
    Well, I'm still bullish on the company's long-term prospects.
    • diggydog
      I'm sure you have your own reasons. Good luck!
  • Maria_yy
    2022-11-15
    Maria_yy
    I don't believe other companies will pose competition to Tesla.
  • ElvisMarner
    2022-11-15
    ElvisMarner
    The sell-off of MUSK put us under a lot of pressure.
  • HilaryWilde
    2022-11-15
    HilaryWilde
    You're right that Tesla's current valuation is too high.
  • DonnaMay
    2022-11-15
    DonnaMay
    Looks like I should be cautious about Tesla too.
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