News for hackers. Stuff that matters.

A comment on Tesla Surges Above $500, Leaving Analyst Targets in the Dust. Parent comment

Re:Tesla Surges Above $500, Leaving Analyst Targets in the Dust by Dylan16807 on Monday January 13, 2020 @12:50PM (#22036747)
> The company is worth $300 billion to the bondholders, and $0 to shareholders, giving a total value of $300 billion.

But if it was cash and debts instead of assets and debts, the company wouldn't be worth $300 billion to bondholders?

[ Parent | on HN ]
Re:Tesla Surges Above $500, Leaving Analyst Targets in the Dust by bryanlarsen on Monday January 13, 2020 @01:03PM (#22036882)
If you spend a dollar to buy a chocolate bar, you say the chocolate bar is worth $1 and that you spent $1.

If you give a teller $1 for 4 quarters, you don't say that you spent $1.

[ Parent | on HN ]
Re:Tesla Surges Above $500, Leaving Analyst Targets in the Dust by Dylan16807 on Monday January 13, 2020 @01:05PM (#22036901)
I borrow $10 from a friend.

I currently am worth $0 to that bondholder.

I spend one of those borrowed dollars on a chocolate bar.

Now I'm worth $1 to that bondholder??

The spending is done with a completely different person than the bondholder.

[ Parent | on HN ]