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Tesla Is Just a Car Company, and It's Time Wall Street Valued It as Su…

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작성자 가우디이오이오
댓글 0건 조회 1,092회 작성일 24-01-27 01:34

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Tesla Is Just a Car Company, and It's Time Wall Street Valued It as Such

There are few constants on Wall Street. But one thing investors can always count on is a next-big-thing trend demanding attention. For much of the past half-decade, electric vehicles (EVs) have ranked high on the list of game-changing innovations.

Although estimates vary wildly, as you'd expect from any industry-changing technology, Fortune Business Insights has penciled in a nearly 18% compound annual growth rate for the worldwide EV market through 2030. By the turn of the decade, we could be talking about nearly $1.6 trillion in annual sales.

At the moment, North American EV leader Tesla (NASDAQ: TSLA) is leading the charge (pardon the necessary pun). Led by outspoken CEO Elon Musk, Tesla has introduced five mass-produced models (3, S, Y, X, and Cybertruck), and spread its wings into energy, storage, and various services, including its Supercharger network.

Tesla charging stations in the foreground, with Tesla EVs plugged in for charging in the background.
Image source: Tesla.
While Tesla is viewed by its shareholders as something of an artificial intelligence (AI), technology, and automaking company rolled into one, I'm going to show you why it's nothing more than a car company that should be valued as such by Wall Street.

Tesla broke the mold for automakers
Before digging into what's wrong with Tesla and the lofty valuation Wall Street has bestowed on the most valuable automaker by market cap, let me start by giving the company credit where credit is due.

Tesla became the first auto company in more than a half-decade to organically build itself from the ground up to mass production. That didn't happen by accident. Although it took a lot of capital, Tesla has seen its Model Y sport utility vehicle blossom into the best-selling vehicle in the world, based on the company's own preliminary data.

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https://www.yahoo.com/finance/news/tesla-just-car-company-time-102100401.html
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