Re:Tesla Is The New Bubble Stock
by pyrrhotech on Thursday October 17, 2013 @01:54PM
(#6566985)
Not overvalued at all. Sure it's shot up a lot recently, and very well may fall some in the next year or two. But if you look at companies the right way, with a long-term perspective, you have a potential 50-bagger at current levels over the next 20 years. That's a phenomenal investment opportunity. The economy is changing, we will be shifting to clean tech, electric vehicles, automation and robotics. I'd put my money with Elon Musk and Tesla
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Market cap is already 20 billion... For reference sake, that's the same as Tata Motors, and a few billion shy of Renault.
Even if you're very optimistic about the future for Tesla, it's fully valued right now.
50 bagger is basically impossible...
It's overvalued if the current price requires 80% revenue growth YoY for the next 10 years at the highest operating margin in the industry (12.5%). That gets us to a price of $160.
Re:Tesla Is The New Bubble Stock
by DEinspanjer on Thursday October 17, 2013 @02:04PM
(#6567060)
50-bagger? I'm not that good with the stock market, but doesn't that mean you believe the company could be worth approximately one trillion dollars in 20 years, not adjusting for inflation? Is that reasonable?
Re:Tesla Is The New Bubble Stock
by pyrrhotech on Thursday October 17, 2013 @04:13PM
(#6567832)
that's right. Tesla is one of the only stocks I see that could break the trillion dollar market cap in real terms from here. They will benefit hugely from the massive economic change that is about to take off over the next 20 years.