The Amazon analogy I made last month really makes sense when talking about Tesla because we are nearing the end of this cycle. Now is the time to worry about cash flow because the potential for a sudden funding halt is increasing.
Amazon's…
My first weekly post at Creit Writedowns Pro includes some thoughts on Tesla, Trump's Fed choices, the US trade war with China, M&A and corporate earnings.
Tesla is a completely speculative, junk-rated venture. Investors in the company are betting on Elon Musk's celebrity as a forward-thinker, hoping he can ramp up production and achieve significant economies of scale
I am using Tesla as an example here more than anything. I am not about to delve into Tesla's loss-making operations and make a case against the stock specifically. But I do want to highlight the 'bubble' that Tesla represents.