Posted on 02/28/2024 8:04:30 AM PST by fireman15
For the broader mass market, we’ve entered the EV “tough of disillusionment”, not good enough for many to switch. Over time they’ll become the norm, it’s inevitable imho - but only as battery technology/safety, charging availability, and the ability of the grid to support it can improve - which is going to take a lot longer than the greenies believe.
We’re going to have a broad market of various technologies to choose from, which is how it should be. While I only have ICE vehicles, including a V8 BMW M3, I might soon purchase a Bolt for around town - or a Volt style hybrid, so you can resort to gas if you have to.
Toyota is going big on hydrogen, both for ICE based engines and fuel cells. This also has infrastructure challenges...but also gives you the 5min fill up where available.
Tesla specifically, they’ve enough profit margin room per vehicle, they can cut prices if needed, although the rumors of a cheaper, entry level, EV are probably true.
This item from the NASDAQ reporting system probably matters more than anything else at this point:
TSLA Dividend History
Dividend History information is presently unavailable for this company. This could indicate that the company has never provided a dividend or that a dividend is pending.
EV’s lost the market more than 100 years ago, and most of the reasons they lost the market are just as valid today as they were then.
They are a niche vehicle, just want a commuter vehicle, fine... but they stink as a general purpose ICE replacement.
If you need a vehicle that falls in the use cases that make sense for an EV, by all means buy one... and there are use cases where they fit very well.. However, for the overwhelming majority of cases they do not.
If I had a service fleet of vehicles, that I knew only needed to travel X numbers of miles per day to do their jobs, then replacing my ICE vehicle fleet with EV’s might make perfect sense. Getting rid of the separate fuel bill would be a plus... etc.
If you only commute and don’t mind adding multiple hours to your long distance trips when you need to make them, then by all means feel free to buy an EV...
Me, I’ll stick with the ICE, 300-500 miles per tank full of gas, and can stop and refill in 5 minutes at more than 168,000 gas stations and go another 300-500 miles. Yes, MOST of my driving is well within an EV’s range, but not all of it, and I sure as hell am not setting for a partial solution vehicle, and most other consumers won’t either.
There are many who believe that Tesla dropping over 20% in January has created a buying opportunity. And they might be correct. Resistance from the public to Electric Vehicles because of limitations that are becoming more and more obvious are creating a headwind for Tesla. Many more manufacturers making Electric Vehicles with demand dropping is also a huge headwind.
Obviously, a bottom was hit in February, but how long this will last is questionable.
The value of the stock is dependent on whether or not Tesla's sales are going to continue to go up at the rate that they have in the past. If you look at the first graphic in the thread it would appear that the chances of this happening are slim.
Tesla's market share is going down in a segment in which demand is likely to be peaking soon. I am personally not convinced that Electric Vehicles are going to be more than a niche in the market for years to come. I am one of the worst persons to take financial advice from but this does not seem like a positive sign.
Thank you.
So if we were looking at something like profit, it would be in a diminishing rise, or decreasing, perhaps.
I am not sure that any of Musk’s companies ever offered dividends. I got the impression that he is not in favor of that, preferring that anything extra be plowed back into the company.
I believe you can say the same thing about Amazon and Facebook. I would steer clear of any company like that where it’s almost impossible to distinguish a profitable enterprise from a racket built on smoke and mirrors.
I certainly agree that Musk could be lying. Amazon and Facebook don’t even try, nor do they have a factory floor to sleep on.
In general, I think you have a good perspective, though. Most cons would be loath to part with even small dividends in order to appear legitimate. Also, even the hard-working, 100%-growth company can devolve into smoke and mirrors in the absence of dividends.
Returning to my original post, though, even Bernie Madoff “paid off returns” to his investors - for a while. ;-)
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