This has finally reached my breaking point. I have liquidated substantial (for me) safe, income yielding assets in order to buy more TSLA. I really do not expect any major gains for some time, but this is a ridiculous situation.
FWIW, any serious investor should IMHO examine some TSLA accounting policies and business policy changes:
First, they recognize income for any product sale only when title is executed and payment has been received.
Second, they are VERY conservative in treatment of residual values/resale guarantees (quick calculations on those two should be done by investors who just might figure out they're recognizing value loss in this quarter on all vehicles subject to those agreements even though actual incidence of loss, if any, would apply to much less than 50% of vehicles due to numerous exceptions).
Third, actual ASP's and further market expansion to places where there are pre-existing order backlogs for Model 3 strongly suggest there is no demand problem.
Fourth, China and GF-3 are clearly and obviously ahead of schedule.
Fifth, continuing battery shortages mean there is still much more opportunity for better GM's on storage and cars.
Sixth, if Elon has made one thing abundantly clear it is that he fully intends to reduce EOQ rush, improve customer service and further improve vehicle/battery longevity while reducing maintenance/repair.
Lastly, just look at the GM's. How is it possible to complain about those? Obviously, foolish people and professional cynics can do so, but nobody who knows the auto industry can imagine TSLA GM's to anything other than highly bullish, even in a disastrous quarter.
So, FUD or no, I am once again increasing my TSLA holdings. Luckily for me my average cost is still in the green even though I kept buying small amounts even above $350. I do not regret it, but I am a very long term investor so I don't expect to do too much timing...except now, again.
