Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[Gigapress]

Tesla's new "Fast Seatbelts" (cameras predict impact and preemptively snug up as needed) are a trojan horse. Auto insurance rates will eventually reflect this feature due to injuries associated with "Slow Belts".

Good point, to which I’ll add that “eventually” will be a lot sooner for Tesla Insurance.

Even more generally, your comment made me realize that any Tesla safety innovation which reduces the probability of collision and/or the severity of outcome in the event of a collision will quickly be factored into Tesla Insurance premium pricing. Even further, Tesla will probably have a good idea of how much each safety improvement will reduce insurance claims before even deploying the new feature because they are the ones who engineered and tested it for validation.

Competing insurance providers can’t respond to safety improvements like this because they don’t have the comprehensive data Tesla has. At best there’s months of lag until they can see a statistically significant change in insurance claim payouts for customers who own Tesla cars. Other insurers have no choice but to watch the output of the black box whereas Tesla owns the box and sees everything inside it.

 

[Gigapress]

I think TSLA might outperform the macros today.

 

[Accident]

The indices are also doing great this week. The S&P500 is up about 7% since last Thursday.

Only 18% of companies that belong to the index have reported earnings for Q2, but so far more than 70% have reported an EPS beat.

Not a good week to be a bear.

 

[Beltsbear]

The same firm is supposed to come out soon with a TSLA bull 2X ETF. Leveraged ETFs are risky when there's high volatility, but it would be great to hold right now.

I am suspicious of this kind of fund. I think somehow they create synthetic shares and dilute real gains in the stock.

 

[M|S|M MYP]

Tesla selling 75% of their BTC last quarter has me wondering.....did this ease new investors into buying today now that Tesla only has 25% of its original holdings left? Made no difference to me as i am holding till i need $$, which will be forever from now...just a thought.

 

[Ogre]

I am suspicious of this kind of fund. I think somehow they create synthetic shares and dilute real gains in the stock.

The options market plays all kinds of havoc on the SP on a regular basis. Far more than an ETF like this would.

The MM are able to crank out options for shares which don't exist this has a huge impact on the stock.

It doesn't affect real gains, but it causes big swings in the share price and huge incentives for the money makers to influence to share price. The money makers have 10s of billions of dollars at stake each week. This is the root of many of the problems with TSLA.

 

[Singuy]

The number of bears posting in all of Cory’s TheStockChannel videos saying we had bull traps and they were all shorting the market and saying TSLA was going down to 400. All these bears have to cover their short positions because TSLA once again delivered an incredible earnings call even with all the grim circumstances and doom and gloom. All the bears are forced to hop on the Full bull train.

Cory have been calling for a reversal for the past week and he has been on point. But bears gonna be bears. I don't understand bears..the market historically has always gone up because bear markets are short lived. I mean look at SQQQ, down 99.9% since inception. Market only goes one way in the long term because the economy focus on growth and humans focus on improving quality of life. Perma bears must have been dropped on their head since birth or something. I don't get why thats a thing.

 

[unk45]

...
Competing insurance providers can’t respond to safety improvements like this because they don’t have the comprehensive data Tesla has...

I want to agree with you but factually I think you're incorrect. Tesla does have several major data advantages. However, so do quite a few insurance companies. For a US example, Progressive.

Snapshot Rewards You for Good Driving

Snapshot rewards good drivers with a personalized discount. See how it works and get tips to maximize your potential discount.

www.progressive.com

Further, there are highly predictive risk models in widespread sue among the best insurance carriers, and ones such as snapshot are certainly at a par with the Tesla driver score but don't depend on actual output from vehicle diagnostics but DO have sensors that provide high utility.
Any company that has a substantial underwriting history with Tesla knows loss severity and loss frequency diagnostics quite well.

No doubt Tesla can and will do better over time. As it is today Tesla competitive quotes result from different profitability expectations in part. They also will benefit, over time, from reduced claims processing expense, better cost/benefit in collision repair among other things.

The insurance business has plenty of pitfalls and risks that superior driving behavior evaluation cannot help with. The learning curve will be steep. Liability loss severity, vandalism and some other factors will not see short term benefit.

We all need to understand that Tesla invests and tests and gains experience prior to mass success in anything. It is that way for batteries, FSD, assembly quality, paint, motors...not to mention solar roofs.
Nothing really is automatically superior at the beginning and the beginning might be a long time.

 

[SOULPEDL]

I think TSLA might outperform the macros today.

Macros dropping, TSLA is not. Volume nearing 40M today, it's just chewing away at it.

 

[Cobbler]

I just bought some shares. I suggest other bulls do the same

Congratz on buying shares during a difficult FUD period

 

[Nocturnal]

Cory have been calling for a reversal for the past week and he has been on point. But bears gonna be bears. I don't understand bears..the market historically has always gone up because bear markets are short lived. I mean look at SQQQ, down 99.9% since inception. Market only goes one way in the long term because the economy focus on growth and humans focus on improving quality of life. Perma bears must have been dropped on their head since birth or something. I don't get why thats a thing.

I assume that perma bears are just extremely pessimistic, paranoid people in general. What other explanation is there?

 

[Mengy]

I assume that perma bears are just extremely pessimistic, paranoid people in general. What other explanation is there?

I know a few Tesla haters personally who are simply clutching onto ICE far too emotionally. EV's are literally threatening to them on some personal level which I just can't understand. I feel like a lot of the Tesla Bears fall into this category too.

For the investor bears, maybe they are just clutching onto their ICE stocks a bit too emotionally?

 

[madodel]

So I was busy all day. Anything happen today?

Any buyers out there just notice Tesla has Giga machines that are making money printing Giga machines?

 

[Chunky Jr.]

Tesla selling 75% of their BTC last quarter has me wondering.....did this ease new investors into buying today now that Tesla only has 25% of its original holdings left? Made no difference to me as i am holding till i need $$, which will be forever from now...just a thought.

I know there are very vocal opponents of Tesla's BTC purchase, eg Gary Black, that may look at the sale as a vindication of their skepticism and an admission by Tesla that it was a mistake. To them, the fact that Tesla would correct this perceived mistake is a positive sign.

 

[Chunky Jr.]

I'm starting to think Elon's comment about the factories setting money on fire was a trap for short sellers.

 

[SOULPEDL]

40M Volume. Still going...

 

[Sancho]

There’s a lot of smart money out there. They’re not fooled by the FUD, and they can do the math as well as we can, and understand that TSLA is undervalued if Tesla can keep cranking up production.

So for a lot of them it’s just a question of when to buy. Today is the first day that the risk of a bad Q2 earnings release is over.

In fact, anyone with liquidity not buying TSLA today is asleep at the wheel.

 

[Ogre]

I'm starting to think Elon's comment about the factories setting money on fire was a trap for short sellers.

Well margins are in the cellar right now. 26%? It's a downward spiral. All that money invested in 4680 tech which is just gathering dust? A travesty.


/s

 

[SOULPEDL]

Boom! Break Today's high!

 

[Ogre]

There’s a lot of smart money out there. They’re not fooled by the FUD, and they can do the math as well as we can, and understand that TSLA is undervalued if Tesla can keep cranking up production.

So for a lot of them it’s just a question of when to buy. Today is the first day that the risk of a bad Q2 earnings release is over.

In fact, anyone with liquidity not buying TSLA today is asleep at the wheel.

Anyone with liquidity after TSLA lingered around $600-650 a share for nearly a month was asleep at the wheel.