Welcome to Tesla Motors Club
Discuss Tesla's Model S, Model 3, Model X, Model Y, Cybertruck, Roadster and More.
Register

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

This site may earn commission on affiliate links.
Why is Elon throwing mudballs at Ford and Amazon? One could suggest that if he were to refrain, no-one would be any the wiser.

Not sure I see the benefit of his tweets.

When Amazon and Ford are chasing Musk's vision, it is simply powerful affirmation by past success stories who no longer have any vision of their own.

People here on this thread already know that, but there are plenty of others who need the wake-up call
 
It has nothing to do with the protests. Cases are rising in states like Florida and Texas that opened bars and restaurants too soon and without social distancing and masks.

States retreat as confirmed virus cases hit all-time high

A number of the hardest-hit states, including Texas, Florida, Arizona and Arkansas, have Republican governors who have resisted mask-wearing requirements and have largely echoed President Donald Trump’s desire to reopen the economy quickly.
Has something to do with the protests too.
 
Why is Elon throwing mudballs at Ford and Amazon? One could suggest that if he were to refrain, no-one would be any the wiser.

Not sure I see the benefit of his tweets.

The Ford one I totally get. Their goal of 2050 is absurd. Why bother announcing that? It's like announcing their 2020 goal back in 1990. If our auto companies aren't carbon-neutral long before 2050, we have larger problems.

Also, the whole Model E thing still annoys Musk, methinks.
 
It has nothing to do with the protests. Cases are rising in states like Florida and Texas that opened bars and restaurants too soon and without social distancing and masks.

States retreat as confirmed virus cases hit all-time high

A number of the hardest-hit states, including Texas, Florida, Arizona and Arkansas, have Republican governors who have resisted mask-wearing requirements and have largely echoed President Donald Trump’s desire to reopen the economy quickly.
How times have changed!

A few months ago if you told someone you had a case of Corona, everybody would say, "Let's Party!"
 
Right... I was just thinking more people buying shares of TSLA regardless of their initial motivation.

@aubreymcfato and @StealthP3D How is a buy and hold strategy "compounding"?

Compounding would be if shares earned dividends in the form of shares or something... It's not compounding if it's just the value of our shares steadily increasing arithmetically, is it?

Buying and holding call options might be using leverage, -still not compounding without repeatedly rolling winnings into increasing numbers of shares or contracts or something.

Wouldn't compounding require something like getting dividends in the form of shares that themselves will grow into more shares?

What am I missing?
Gotta say, I agree with UncaNed on this one. Compound means to pay (interest) on accrued interest as well as the principal. While the buy and hold strategy when it comes to stocks is a good one that I practice, unless any gains on a non-dividend paying stock are in some way based on and include the principal, the strategy can't be called compounding. If we were guaranteed that the stock price would rise by a specific percentage over a specific time period, that would be different, but we're not and it doesn't.

Buy and hold means you purchase the stock in researched hopes that it will gain over time, but it's not a compounding investment.
 
  • Helpful
  • Informative
Reactions: capster and UncaNed
Right... I was just thinking more people buying shares of TSLA regardless of their initial motivation.

@aubreymcfato and @StealthP3D How is a buy and hold strategy "compounding"?

Compounding would be if shares earned dividends in the form of shares or something... It's not compounding if it's just the value of our shares steadily increasing arithmetically, is it?

Buying and holding call options might be using leverage, -still not compounding without repeatedly rolling winnings into increasing numbers of shares or contracts or something.

Wouldn't compounding require something like getting dividends in the form of shares that themselves will grow into more shares?

What am I missing?
Gotta say, I agree with UncaNed on this one. Compound means to pay (interest) on accrued interest as well as the principal. While the buy and hold strategy when it comes to stocks is a good one that I practice, unless any gains on a non-dividend paying stock are in some way based on and include the principal, the strategy can't be called compounding. If we were guaranteed that the stock price would rise by a specific percentage over a specific time period, that would be different, but we're not and it doesn't.

Buy and hold means you purchase the stock in researched hopes that it will gain over time, but it's not a compounding investment.

Somewhat true, wipster, nevertheless it's possible for a buy-and-holder to measure paper profits growing exponentially (compounding) over time. That's assuming the stock is one of those in such a strong growth phase that it keeps growing by similar percentages over each previous year.
 
Tesla’s Q2 COVID-impacted sales will be a catalyst for the stock next week

Excerpted from the article:

Analysts polled by FactSet consensus expect deliveries of 67,000 vehicles, of which 59,600 would be Model 3 mass-market sedans and the remainder roughly split between sales of the Model S luxury sedan and the Model X SUV.

Interesting that they don't think there will be any Model Ys delivered. :eek:

But they even mention that there will likely be more than 10k of them produced...
 
Somewhat true, wipster, nevertheless it's possible for a buy-and-holder to measure paper profits growing exponentially (compounding) over time. That's assuming the stock is one of those in such a strong growth phase that it keeps growing by similar percentages over each previous year.
But not by default Curt and not guaranteed. And just because it grows exponentially does necessarily mean that it's interest that applies to the principal. The stock gains (or loses) a dollar amount over a specific period and we measure that by a percentage amount. But a compounding account gains by a percentage amount applied to the principal over a specific period (which in the next period is included in the principal) and is measured in a dollar amount.

I can see where everyone is coming from but I still concur with UnaNed.
 
But not by default Curt and not guaranteed. And just because it grows exponentially does necessarily mean that it's interest that applies to the principal. The stock gains (or loses) a dollar amount over a specific period and we measure that by a percentage amount. But a compounding account gains by a percentage amount applied to the principal over a specific period (which in the next period is included in the principal) and is measured in a dollar amount.

I can see where everyone is coming from but I still concur with UnaNed.

Unless bought at an IPO, the term principal is somewhat meaningless with a stock. This is especially true for a company that reinvests much of its profits in growth rather than paying dividends. That annual reinvestment might be considered to some degree analogous to the compounded interest on a savings account, but not nearly as certain to regularly translate into investment growth. During a company's strong growth phase, such reinvestment can possibly result in exponential (compounded) growth in a share holder's "paper" profits.