I was once a subscriber to this rag, and received the email below today.. If anyone has an extra $595, and is near LA, you might want to go, supposedly JB Straubel will be doing a presentation & Q&A. I disagree with everything he states about TSLA, and he's just showing his ignorance... once of the reasons I stopped wasting my time reading their garbage.
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Porter is facing off against one of Tesla's founders… How to see it live… Consumer Reports changes its tune… Blackstone is buying shale assets… Selling fake legs on eBay for $500… And other scams…
The world's premier electric carmaker Tesla announced losses of nearly $62 million for the second quarter, up from a $50 million loss the previous quarter… and double the $31 million loss over the same period a year ago.
The company sold a record 7,579 vehicles in the quarter… So it's losing money on every unit and trying to make it up on volume.
Revenue increased to $769.3 million, up 89.9% year over year. So did stock-based compensation, from 19,259 a year ago to 35,783 shares today.
Tesla expects to produce more than 9,000 cars in the third quarter and deliver 7,800 Model S vehicles.
Even after reporting lackluster results, the stock is still up more than 6% since last Friday – sitting near its all-time high.
And that's despite a negative report from Consumer Reports magazine…
Earlier this year, Consumer Reports named the Tesla Model S its "car of the year." This week, the publisher changed its tune… After driving the car for 15,743 miles, it saw some problems. From Consumer Reports…
Of course, none of these issues are as serious as Tesla's cars spontaneously catching on fire… or that its batteries are only good for three years. As Porter explained in the July 9 Digest Premium…
So these leases for Teslas end after three years. How much is a car worth after a three-year lease? The answer is no one really knows, because a gasoline-powered car has a useful life of 10 years. So after a three-year lease, it could still have 60%-70% of its residual value. No problem. But what about an electric car whose battery pack costs $60,000 and only has a three-year lifespan? What do you think a three-year-old used Tesla with no battery is worth?
In its accounting, Tesla says it's worth $50,000. In the pro forma we've prepared, we believe it will be worth $25,000. And our assumption may be very generous. If you look at the three-year-old used prices of other electric cars, they're only worth about 15% of the original sales price. I'm quoting the price of the Nissan LEAF, for those of you who want to do your own work. Anyway, my bet is that all these investors who think that Tesla is worth half as much as BMW based on market cap are going to be very disappointed.
Does the market know something about Tesla we don't? So far, our efforts to short the company have struggled. (Our short position in Stansberry's Investment Advisory recently stopped out.) So we're clearly in the minority with our hesitations about the company. But even if our timing has been off so far, we stand by our opinion: Tesla is an overly expensive company with a highly regarded – but questionable – product. If the facts change, we'll consider changing our minds…
And if anyone can change our mind, it's Tesla Chief Technical Officer JB Straubel. Straubel is one of the company's founders… And he's speaking at our upcoming conference in Los Angeles. It will be one of the first appearances he has made like this.
Porter and Straubel will discuss the company's future. We're sure Porter will make his opinion of Tesla known. But maybe he'll change his mind after the event… Maybe he'll leave with a brand-new Tesla.
Either way, it's a can't-miss encounter. We hope you'll be there to experience it in person. In addition to Straubel, we have one of the most influential minds in technology, Chris Anderson – the former Editor in Chief of Wired magazine and founder of two cutting-edge technology firms. And of course, we'll also hear from Porter, Steve Sjuggerud, Kim Iskyan, and a host of other speakers.
The event takes place in Los Angeles on August 23. We're only selling tickets for a little longer. If you haven't been to one of our Stansberry Conference Series events this year, we hope you'll join us in L.A. – especially if you live in the area.
You can learn more about the event – and secure your seat – by clicking here.
http://click.stansberryresearch.com/t/AQ/no4/rLw/AA4n_g/KvE/MzM5NTcwfGh0dHA6Ly9wcm8xLnN0YW5zYmVycnlyZXNlYXJjaC5jb20vMjQ4ODI0Lz9lbWFpbD1td29scmljaCU0MGdtYWlsLmNvbSZhPTEmbz00MDU5MCZzPTQ0MjIwJnU9OTI3NzM4Jmw9MzM5NTcwJnI9TUMmZz0w./AQ/xvzq
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Porter is facing off against one of Tesla's founders… How to see it live… Consumer Reports changes its tune… Blackstone is buying shale assets… Selling fake legs on eBay for $500… And other scams…
The world's premier electric carmaker Tesla announced losses of nearly $62 million for the second quarter, up from a $50 million loss the previous quarter… and double the $31 million loss over the same period a year ago.
The company sold a record 7,579 vehicles in the quarter… So it's losing money on every unit and trying to make it up on volume.
Revenue increased to $769.3 million, up 89.9% year over year. So did stock-based compensation, from 19,259 a year ago to 35,783 shares today.
Tesla expects to produce more than 9,000 cars in the third quarter and deliver 7,800 Model S vehicles.
Even after reporting lackluster results, the stock is still up more than 6% since last Friday – sitting near its all-time high.
And that's despite a negative report from Consumer Reports magazine…
Earlier this year, Consumer Reports named the Tesla Model S its "car of the year." This week, the publisher changed its tune… After driving the car for 15,743 miles, it saw some problems. From Consumer Reports…
[W]e had a problem with the automatic-retracting door handles, which were occasionally reluctant to emerge from the coachwork so we could open the driver's door. Tesla fixed that with an over-the-air programming update beamed to the car…
Just before the car went in for its annual service, at a little over 12,000 miles, the center screen went blank, eliminating access to just about every function of the car, including popping open the charge port. The shop, a newly opened service center in Milford, Conn., performed a "hard reset" that restored the car's functions. It also fixed a creak emanating from the passenger side roof-pillar area, disassembling and refitting some trim panels.
While it was at it, the shop took care of some additional odds and ends, all covered by warranty. One of the buckles for the third row had broken. The shop simply replaced the whole third row with a new, upgraded version. It also replaced the front bumper carrier hardware. On its own initiative, the shop replaced our 12-volt battery, the HVAC filter housing, and the powertrain battery's coolant pump.
Just before the car went in for its annual service, at a little over 12,000 miles, the center screen went blank, eliminating access to just about every function of the car, including popping open the charge port. The shop, a newly opened service center in Milford, Conn., performed a "hard reset" that restored the car's functions. It also fixed a creak emanating from the passenger side roof-pillar area, disassembling and refitting some trim panels.
While it was at it, the shop took care of some additional odds and ends, all covered by warranty. One of the buckles for the third row had broken. The shop simply replaced the whole third row with a new, upgraded version. It also replaced the front bumper carrier hardware. On its own initiative, the shop replaced our 12-volt battery, the HVAC filter housing, and the powertrain battery's coolant pump.
Of course, none of these issues are as serious as Tesla's cars spontaneously catching on fire… or that its batteries are only good for three years. As Porter explained in the July 9 Digest Premium…
So these leases for Teslas end after three years. How much is a car worth after a three-year lease? The answer is no one really knows, because a gasoline-powered car has a useful life of 10 years. So after a three-year lease, it could still have 60%-70% of its residual value. No problem. But what about an electric car whose battery pack costs $60,000 and only has a three-year lifespan? What do you think a three-year-old used Tesla with no battery is worth?
In its accounting, Tesla says it's worth $50,000. In the pro forma we've prepared, we believe it will be worth $25,000. And our assumption may be very generous. If you look at the three-year-old used prices of other electric cars, they're only worth about 15% of the original sales price. I'm quoting the price of the Nissan LEAF, for those of you who want to do your own work. Anyway, my bet is that all these investors who think that Tesla is worth half as much as BMW based on market cap are going to be very disappointed.
Does the market know something about Tesla we don't? So far, our efforts to short the company have struggled. (Our short position in Stansberry's Investment Advisory recently stopped out.) So we're clearly in the minority with our hesitations about the company. But even if our timing has been off so far, we stand by our opinion: Tesla is an overly expensive company with a highly regarded – but questionable – product. If the facts change, we'll consider changing our minds…
And if anyone can change our mind, it's Tesla Chief Technical Officer JB Straubel. Straubel is one of the company's founders… And he's speaking at our upcoming conference in Los Angeles. It will be one of the first appearances he has made like this.
Porter and Straubel will discuss the company's future. We're sure Porter will make his opinion of Tesla known. But maybe he'll change his mind after the event… Maybe he'll leave with a brand-new Tesla.
Either way, it's a can't-miss encounter. We hope you'll be there to experience it in person. In addition to Straubel, we have one of the most influential minds in technology, Chris Anderson – the former Editor in Chief of Wired magazine and founder of two cutting-edge technology firms. And of course, we'll also hear from Porter, Steve Sjuggerud, Kim Iskyan, and a host of other speakers.
The event takes place in Los Angeles on August 23. We're only selling tickets for a little longer. If you haven't been to one of our Stansberry Conference Series events this year, we hope you'll join us in L.A. – especially if you live in the area.
You can learn more about the event – and secure your seat – by clicking here.
http://click.stansberryresearch.com/t/AQ/no4/rLw/AA4n_g/KvE/MzM5NTcwfGh0dHA6Ly9wcm8xLnN0YW5zYmVycnlyZXNlYXJjaC5jb20vMjQ4ODI0Lz9lbWFpbD1td29scmljaCU0MGdtYWlsLmNvbSZhPTEmbz00MDU5MCZzPTQ0MjIwJnU9OTI3NzM4Jmw9MzM5NTcwJnI9TUMmZz0w./AQ/xvzq
