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Tesla's $200,000,000 Day!!

Discussion in 'Model 3' started by luvnMyTS, Mar 31, 2016.

  1. luvnMyTS

    luvnMyTS Member

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    Do we know any other company that can take in $200,000,000 in a day?

    Assuming 200,000 pre-orders today at $1,000 each.

    200,000 is not unreasonable considering the lines shown at all the stores around the WORLD today, plus how many are waiting to reserve on line.
     
  2. Garlan Garner

    Garlan Garner Active Member

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    Marketing genius. A $200million dollar interest free loan.
     
  3. StapleGun

    StapleGun Member

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    Ignoring the very speculative 200k number, $200 million in a day comes out to about $73 billion in a year. That wouldn't even crack the top 50. Tesla has lots of room to grow still!
     
  4. Garlan Garner

    Garlan Garner Active Member

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    No one can beat a $200 million interest free loan.
     
  5. Jason Bourne

    Jason Bourne Member

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    I think 200k reservations is ambitious for today. I think they'll crack 100k reservations by mid-day Friday.
     
  6. eye.surgeon

    eye.surgeon Member

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    Ambitious? try delusional.
     
  7. pmich80

    pmich80 Between U and me I'm giddy waitin' for the Model ≡

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    i'm guessing 38.000
     
  8. wallstguy

    wallstguy Member

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    Did you see the lines at Tesla Stores? Assuming even 500 per store, and 218 stores worldwide, thats 109,000 reservations right there.

    I know for a fact that both Toronto locations had well over that number, the Yorkdale location stated they're estimating around 2,000 orders.

    That doesn't even count all the online orders coming in tonight. The Model 3 reservations have also been opened up pretty much globally, with Tesla now tapping into the second largest population in the world: India as of tonight.
     
  9. Yuri_G

    Yuri_G Member

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    What was your prediction again? There were over 25k people recorded in line at each stores peak in North America. That's not counting reservations over the whole day and the rest of the world. That's at least 50k reservations in store. Three times the in store reservations online is not a stretch. Turnout was greater than anyone could have imagined.
     
  10. AlanSqB

    AlanSqB Member

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    Keep in mind, no matter how much they make, they have to hold this money in reserve. It will show as a liability until the cars are delivered.
     
  11. Ryan MF

    Ryan MF Member

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    Is there a reservation number provided and tally somewhere with highest reservation number?
     
  12. luvnMyTS

    luvnMyTS Member

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    You do realize they allow everyone to reserve two if they want to right?
    How many stores are there? I know at least 30 in the US alone. Probably 1,000 people per store minimum. Will hit 38,000 in stores alone today probably. Tons of people waiting on line. They opened it up early to avoid a server overload. 200,000 might be ambitious, but 100,000 I would say is almost a guaranteed figure for today. Still $100,000,000 in a day. Not half bad. Many Tesla owners will reserve two, for friends and family since they get first priority.
     
  13. wallstguy

    wallstguy Member

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    I'm one of those that have reserved 2
     
  14. Ryan MF

    Ryan MF Member

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    The benefit though is that they can earn on a return on that cash and the cost of capital is much lower than what they could get in the debt or equity markets.
     
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  15. Yuri_G

    Yuri_G Member

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    This spreadsheet tracked the queue numbers today: Model 3 Line Update Spreadsheet

    That's the best we've got to estimate reservations, for now.
     
    • Helpful x 1
  16. Jason Bourne

    Jason Bourne Member

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    How would a current Tesla owner efficiently transfer a reservation or the car itself after delivery to friends/family? Reservations are non-transferable; and selling the car to friends/family after delivery is a sales-taxable event in most states.
     
  17. NigelM

    NigelM Recovering Member

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    It's booked as "unearned income" so can be used for cashflow and is booked as a cash asset and as a deposit liability on the balance sheet. It doesn't have to be held in reserve for most jurisdictions*.

    * A few States require deposits to be held in escrow e.g. Washington State IIRC.
     
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  18. Ohms Andwatts

    Ohms Andwatts Unknown Member

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    Due to the overwhelming response, the server is not responding quickly and may be getting confused, or perhaps it was just me, but I ordered four. I started with two and it took quite a while before it would be accepted. Then, the message to acknowledge did not have as much information (email within 24 hours) as someone who posted their response. So I checked my credit card and there was no assessment. Back to order another two and it went slightly quicker but still came back with only a simple acknowledgement. But when I checked my credit card, $4000 was assessed.

    Either I will get an email that explains I can only order 2 or I only get a confirmation for two and an assessment of $2000, or I have to make calls and find out. Either way, it isn't a big deal except that if quite a few people did this, then Tesla will record even greater sales for this event and it won't matter later because those that get cut will be taken up by others in the next quarter. I just think it's kind of amusing.
     
  19. Drivin

    Drivin Member

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    Are you sure?
    They can't recognize it as revenue, but do they have to keep it in reserve, or do they just have to account it is a liability?
    Any internet accountants here?
     
  20. AlanSqB

    AlanSqB Member

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    No, but there seem to be some accounting types on here that understand it better than I do. Sounds like there is not a reserve requirement. My assumption of the reserve was based on the full refund stipulation.

    Not the first time I've been wrong. Not even the first time today, or this evening. :)
     

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