Musk’s power only comes from his wealth. That wealth is in a currency that is tied directly to the world’s trust in the US government. That trust is being very quickly diminished. If things get ‘Mad Max’ bad all of his wealth will be absolutely worthless.
Toyota is a car company that makes solid cars with an anonymous CEO. It has a P/E ratio of about 7.5 and a market cap of about $230 billion.
Tesla is a car company that makes a few solid cars, and one absolutely ridiculous vehicle that is the laughing stock of trucks. It has a CEO that most of the world has an intensely negative opinion of, and that negative opinion is highest among the people wealthy enough to consider buying a Tesla. It has a P/E ratio of approximately 175 and a market cap of $918 billion.
If Tesla’s P/E ratio fell to something more realistic, let’s be extremely generous and say 7, it would be worth only $37 billion, about 4% of the current value. Realistically, it should be significantly below that. When people are regularly spraypainting swastikas on your vehicles, your P/E ratio should be lower than other automobile manufacturers because it’s a sign that your future growth prospects may be slightly impaired by the unwillingness of people to buy your vehicles.
When Tesla’s value does collapse (and I’m convinced it’s a “when” not an “if”) it will crater Musk’s net worth, because at least half of it is due to his Tesla stock.
I fucking hate stock market bullshit it’s just made up of people’s feels. Not even grounded in reality in the slightest.
Maybe when people collectively realize this ridiculous smoke trick of run away capitalism as our means of social organization is just that, smoke, we may have a chance.
But I guess in the meantime I wish I would have bought Bitcoin years ago even though it’s being treated as a security when it’s backed by thin air. It’s wild how concentrated the actual amount of Bitcoin is though. It’s like an oligarch’s wet dream.
As much as people hate short sellers, this is how they’re useful. They help make the prices of things in the stock market more realistic by finding the companies that are overvalued, short-selling them, and then telling the world how badly overvalued the companies are so that their stock returns to a more realistic price.
Supposedly the self driving capabilities is the reason for the high valuation, but he has lied about having it ‘by the end of the year’ for about a decade now. So maybe they will catch on around 2030 if the economy doesn’t completely collapse in the next few years.
Nobody who knows anything about self-driving would give Tesla any credit for that.
The fact that Tesla’s slight improvement to lane-assist is labelled as “full self-driving” by Tesla has really damaged the reputation of the industry. GM is way ahead of them because of the knowledge they have in-house thanks to Cruise. And Cruise gave up because they were so far behind Waymo.
Well most of that wealth is in the Tesla meme-stock (whose valuation he uses as collateral for credit), encompassing various nonsense-ventures, the roadster that never materialised, the electric articulated truck with thermonuclear-explosion-proof windscreen that doesn’t exist, a fake remote controlled robot, self-driving cars without the necessary sensors, not to mention a whole host of other stuff like a Mars colony that cannot possibly happen while observing the laws of physics as we understand them. Sorry but it was all such obvious bullshit to anybody that even paid a little bit of attention. How none of it was fraud is beyond me (free speech!). Instead of getting prosecuted governments (not limited to republicans) gave him contracts worth billions with which he extended and consolidated his burgeoning power.
There is a whole host of people who facilitated Musk’s rise to power, from billionaire-owned media outlets failing to question his bullshit, to $TSLA owners who have probably profited quite handsomely in the last few months. But I suppose that is the nature of capitalism laid bare - I’ll get mine and fuck you.
If it is true that one of China’s policies, with regard to beating America over the last and coming decades, was ‘do nothing and win’ we can see exactly why through Musk’s story.
Musk’s power only comes from his wealth. That wealth is in a currency that is tied directly to the world’s trust in the US government. That trust is being very quickly diminished. If things get ‘Mad Max’ bad all of his wealth will be absolutely worthless.
The vast majority of his wealth is stock market speculation, not even US currency.
Toyota is a car company that makes solid cars with an anonymous CEO. It has a P/E ratio of about 7.5 and a market cap of about $230 billion.
Tesla is a car company that makes a few solid cars, and one absolutely ridiculous vehicle that is the laughing stock of trucks. It has a CEO that most of the world has an intensely negative opinion of, and that negative opinion is highest among the people wealthy enough to consider buying a Tesla. It has a P/E ratio of approximately 175 and a market cap of $918 billion.
If Tesla’s P/E ratio fell to something more realistic, let’s be extremely generous and say 7, it would be worth only $37 billion, about 4% of the current value. Realistically, it should be significantly below that. When people are regularly spraypainting swastikas on your vehicles, your P/E ratio should be lower than other automobile manufacturers because it’s a sign that your future growth prospects may be slightly impaired by the unwillingness of people to buy your vehicles.
When Tesla’s value does collapse (and I’m convinced it’s a “when” not an “if”) it will crater Musk’s net worth, because at least half of it is due to his Tesla stock.
I fucking hate stock market bullshit it’s just made up of people’s feels. Not even grounded in reality in the slightest.
Maybe when people collectively realize this ridiculous smoke trick of run away capitalism as our means of social organization is just that, smoke, we may have a chance.
But I guess in the meantime I wish I would have bought Bitcoin years ago even though it’s being treated as a security when it’s backed by thin air. It’s wild how concentrated the actual amount of Bitcoin is though. It’s like an oligarch’s wet dream.
As much as people hate short sellers, this is how they’re useful. They help make the prices of things in the stock market more realistic by finding the companies that are overvalued, short-selling them, and then telling the world how badly overvalued the companies are so that their stock returns to a more realistic price.
Supposedly the self driving capabilities is the reason for the high valuation, but he has lied about having it ‘by the end of the year’ for about a decade now. So maybe they will catch on around 2030 if the economy doesn’t completely collapse in the next few years.
Nobody who knows anything about self-driving would give Tesla any credit for that.
The fact that Tesla’s slight improvement to lane-assist is labelled as “full self-driving” by Tesla has really damaged the reputation of the industry. GM is way ahead of them because of the knowledge they have in-house thanks to Cruise. And Cruise gave up because they were so far behind Waymo.
Cruze also parked on a pedestrian, but I think Waymo is only working because google has the money to blow on human monitors working remotely.
Well most of that wealth is in the Tesla meme-stock (whose valuation he uses as collateral for credit), encompassing various nonsense-ventures, the roadster that never materialised, the electric articulated truck with thermonuclear-explosion-proof windscreen that doesn’t exist, a fake remote controlled robot, self-driving cars without the necessary sensors, not to mention a whole host of other stuff like a Mars colony that cannot possibly happen while observing the laws of physics as we understand them. Sorry but it was all such obvious bullshit to anybody that even paid a little bit of attention. How none of it was fraud is beyond me (free speech!). Instead of getting prosecuted governments (not limited to republicans) gave him contracts worth billions with which he extended and consolidated his burgeoning power.
There is a whole host of people who facilitated Musk’s rise to power, from billionaire-owned media outlets failing to question his bullshit, to $TSLA owners who have probably profited quite handsomely in the last few months. But I suppose that is the nature of capitalism laid bare - I’ll get mine and fuck you.
If it is true that one of China’s policies, with regard to beating America over the last and coming decades, was ‘do nothing and win’ we can see exactly why through Musk’s story.
“”“self-driving”“”***
Don’t worry, that’s what Dogecoin is for! 🤡