The controversy over Teslado space

Summary: [hedge fund barons like John Berbink, John Griffin and Rohn Baren have emptied their Tesla stocks. However, another big guy, David Shawn in this quarter chose to do the share of the unit] recently, Tesla announced the Better-than-expected first

[Hedge funds such as John Berbink, John Griffin and Rohn Baren have emptied their Tesla stocks. However, another big guy, David Shawn in this quarter chose to take the stock of the unit]

Recently, Tesla reported Better-than-expected second-quarter earnings. As soon as the news was announced, the company's shares surged 14.34%. By the end of August 15, Tesla had risen 312% per cent since the beginning of the year. However, as the company's share price opened at a record high of $158 trillion, the ideology battle over Tesla also tended to be white-hot.

The latest hedge fund positions report in the second quarter showed that John Berbink (John California-based), John Griffin (John Griffin) and Rohn Baren (Ron Baron) had emptied their Tesla stocks. Yet another big guy, David Shawn (d.e Shaw), picked up the shares in the quarter.

Topic One: Is the valuation too high?

Null side:

Steven Kiel, a hedge fund manager at Aguidos Asset Management company: Steven Kill

For now, it's not a good time to buy Tesla, as Tesla CEO Elon Elon Musk is constantly selling the company's stock. Whatever the stock, when the mood of the public investment is unusually warm, its share price will "climb all the way to the moon." However, such stocks do not appear in our portfolios, because once the enthusiasm of investors dissipates, the share price will plummet. I very much admire Elon (Elon Musk) and feel that Tesla is a company that brings us surprises, in fact we bought the shares of the company very early. But now is not a good buy, because the stock is the reason for the higher entirely depends on market sentiment. Amazon's shares fell to $90 a share at a time in 1999, while the company's share price dropped to $7 in the next two years. I think Tesla has a lot in common with Amazon.

Bank of America Merrill Lynch analyst John Lovallo (John Lovallo II) and Murphy (John Murphy):

Tesla made significant progress, reflecting greater viability, but the company's stock value was overvalued. Our views may prove to be wrong in the short term, but they are still true in the long run.

In the second quarter, Tesla began using leasing accounting standards, and the revenue from selling cars would be amortized within 36 months, rather than being fully paid when the company delivered the car. So the results of the second quarter will be reflected. The impact of Tesla's changes in accounting practices will have a negative impact on Tesla cars in the short term, but will not affect the company's cash flow.

Eric Dutram, Zacks strategist at the US independent rating agency, Eric Duttlen:

Tesla is expected to lose 68 cents a share a year, but is expected to achieve 50 cents a share next year. Based on this calculation, Tesla's dynamic P/E ratio will be as high as 289 times times, compared to Ford Motor (16.3,-0.13,-0.79%) and Toyota's dynamic P/E ratio is less than 10 times and 16 times times respectively.

Multi-stakeholder：

Investment banking website "Color Clothing Fool" (Motley Fool) famous Bo main Shumrik Capfer (Shmulik KARPF):

At the current price, the fact that Tesla's valuations are too high is undeniable. At present, the company's sales and book value is 21 times times, the average city net rate is 54 times times. The figures remind the company that its share price has sounded the alarm about the plunge.

But investors are willing to give them higher valuations precisely because of their growth. Therefore, it is not possible to short a stock simply because a company's valuation is above the industry average. Like Amazon or Salesforce, which has suffered from investors shorting, the air strikes ended in failure.

Tesla CEO Elon (Elon Musk):

Tesla's balance sheet now has enough credibility and cash. Shorting Tesla is a very unwise thing to do, and I think that those investors shorting Tesla will be hit by a tsunami in the near future.

ZeroHedge Blog:

Tesla may be affected in the short term by the fluctuations in the market and the pullback, but in the long run the trend is still bullish. For now, Tesla is indeed a stock of short money. But in 2008, Volkswagen had been in a blank market, causing shares to rise by more than 500% in just a few weeks, and the short sellers suffered a huge loss, with German billionaire Adolf Merckle committing suicide.

Guotai Analyst Sanyongliang:

2013 two quarter Tesla entered a new stage of development, profit for two consecutive quarters of the forecast, Revenue data show good sales, gross margin gradually climbed. We give the company an overweight rating

Topic Two: Can Tesla's sales guarantee

Null side:

Patrick Achambo, Goldman Sachs analyst (Patrick Archambault):

Now our valuation of Tesla is based on three hypothetical scenarios. First, we assume that Tesla's sales totaled 105,000 units (S-type 50,000, next-generation car 55,000), operating profit margin of 14.6%, which means a profit of $5.99 per share.

The second extremely advantageous scenario is that Tesla is expected to occupy about 3.5% per cent of the global entry-level luxury car and mid-range luxury car market, with an annual shipment of about 200,000 vehicles. 3.5% is consistent with the assumption that most successful companies in the car industry over the past 10 years typically have a 3-5-year market share growth. We assume that the operating profit margin is 15.2%, which is slightly better than Tesla's forecast of 15%, mainly because we estimate higher shipments will produce better operational impetus. Tesla's shares are worth 113 of dollars in this situation.

In the medium case, we assume that the shipment is 150,000 vehicles, operating profit margin of 14.8%, these two data is basically the first two scenarios corresponding to the median value of the data. Tesla's shares were valued at 83 dollars.

To sum up, we take the above three kinds of conditions average, for Tesla's stock set a 84 dollar target price.

Lik, head of electric vehicle project, Volkswagen Group (China) Research Center:

Compared to Europe and the United States, China has not reached the stage of extensive electric vehicle promotion in infrastructure and charging facilities construction. It is believed that Tesla's entry into China will bring a wave of the market, though the outlook remains uncertain.

Analysys, founder and CEO of Analysys International:

In fact, the interior of the Bitesla and Mercedes-Benz S-Class sedan you will find that Tesla is not a luxury car, although its price is very expensive. So, if you want to start from the point of luxury cars to catch the Mercedes-Benz S-Class car sales that is not possible. Tesla's desire to take the luxury-car route is a bit difficult, and it's hard to accept the millions of people who like Tesla's environmentalists and internet.

Multi-stakeholder：

Tesla CEO Elon:

Tesla's sales in North America are now up to 20,000 a year, and demand in Europe will be similar to that in North America, where demand is greater. In addition, Asia-Pacific, South America, South Africa and Australia and other markets will also have demand. Because of the impact of export logistics and other factors, as long as Europe and China's sales can reach half of the United States, then Tesla will be able to increase the volume of sales next year smoothly to 40,000 vehicles.

Our expectations are very safe. We may have further growth potential on this basis. Excluding zero-emission vehicle subsidies, our car business has a gross profit margin of nearly 13%. I think the 25% target is very likely to be achieved, we are taking spending cuts, and the efficiency of production and supply chains has improved in the second half of the year. We are full of confidence in this figure.