TSLA Market Action: 2018 Investor Roundtable

[Cosmacelf]

I suspect not, and that I think is the most important difference between bulls and bears who actually think deeply about this stock. I look at trends in interest costs, likelihood of downgrade, and limits on the ability to obtain supplier funding, and then (because my expertise is primarily in finance, not manufacturing/auto) I read all I can about production costs and issues and likely demand levels. Overall, I suspect that they will not be able to make the SR at a sustained profit (or, put another way, I don't think they will find enough demand at a level which allows them to make a profit).

Gotcha. You think you’re smarter than Deepak and Elon.

That isn’t meant as a snide remark. Elon is the guy who funded the most consequential rocket and spaceship company on a shoestring, did things at SpaceX that nation states couldn’t even fund, let alone do. Is building $60M rockets in Los Angeles and managing to outcompete subsidized nation state companies on price.

I won’t go into Tesla’s accomplishments, since you know them already. I prefer to look at the big picture and the big picture tells me that if Elon can’t now make the SR version at a profit, he will figure out how to. Adjusting the price is possible too (there is tons of demand for the pricey LR versions). You know that Tesla hasn’t even started selling outside the US yet, right? And there are very profitable products waiting in the wings, right? And Tesla has many locked in competitive advantages, right? Anyways, big picture, Elon and Deepak are smarter than you, Sunbird.

 

[RAM_Eh]

Why was my post in this thread deleted?

 

[jhm]

Who has an Army of volunteers to work for free? It is unbelievable sales force and next level of customers satisfactory!
ps. news from legacy world
After settling with SEC, Musk tries to answer other question

Damn, this is positively glowing press!

 

[ev-enthusiast]

I like today's trading volume.

 

[mrdoubleb]

Nice pop, news??

Yeah, right... Let me try a better one:

I was out camping the past week with no internet access. Did I miss anything?

 

[Joe F]

Indeed. Usually, but not today. No shorting induced MMD due to SEC rule 201 (uptick) being active, at most they can attempt to cap by selling into a upward trend. Should be interesting...

07:01 low: $305.00. 09:33 low: $301.05. Early hours not usually a good bet. I've given up on pre market buys over the years. Today might have been the exception, but between 07:01 and 09:28, what time to pull the trigger? Very thin tape with wild swings.

 

[jhm]

Next stop, $420.

 

[ZachF]

$310

 

[Tslynk67]

So, after all that, we're back to the battle for $310?

 

[Starno]

Next stop, $420.

Where is the " 6 " guy ?

He was funny

 

[bmms8]

Reports of 80k produced in 3Q according to eletrek

 

[ebyard]

Assuming individuals have had their fill, it's trading around $310. Guess we need to wait for production data to see a bump, probably be a $10 to $15 event though who knows.

 

[brian45011]

Quick google. I haven't read it yet, or confirmed validity, applicability etc.
Form of Indemnification Agreement

"... the Company shall have no obligation to obtain or maintain D&O Insurance if the Company determines in good faith that such insurance is not reasonably available, the premium costs for such insurance are disproportionate to the amount of coverage provided, or the coverage is reduced by exclusions so as to provide an insufficient benefit."
​

It's not uncommon for any type of corporate insurance policy to have some self-insured retention feature.

"The only limitation that shall exist upon the Company’s obligations pursuant to this Section 2 shall be that the Company shall not be obligated to make any payment to Indemnitee that is finally determined by a court of competent jurisdiction in a final judgment, not subject to appeal, to be unlawful."
​

There is likely a similar exclusion in the D&O policy which the insurer may cite initially as a basis for denying its duties of defense and indemnity. If so, there will be litigation over the coverage issues. The plaintiffs' bar often claims in bad-faith actions that insurers engage in triple D tactics--deny, dispute, delay.

Also, Elon's blog post on August 13 stated:

"To be clear, when I made the public announcement, just as with this blog post and all other discussions I have had on this topic, I am speaking for myself as a potential bidder for Tesla."
​

Which raises an additional issue as to whether either the D&O policy or the corporate indemnity extends to a potential indemnitee when acting on his own behalf rather than as an officer or director of the corporation.

The settlement obligated Tesla to retain an experience "securities counsel." Tesla is becoming an attorneys' full employment enterprise.
.

 

[MP3Mike]

Why was my post in this thread deleted?

It must have violated a forum rule that was beyond getting moved to snippiness.

 

[BenPrice]

Tesla produced a record ~80,000 vehicles in Q3 and deliveries could be even crazier

Electrek article says delivery numbers “EDIT - expected, maybe just a WAG from Fred) today

80k produced

 

[ZachF]

Tesla produced a record ~80,000 vehicles in Q3 and deliveries could be even crazier

Electrek article says delivery numbers “EDIT - expected, maybe just a WAG from Fred) today

80k produced

If 26-27,000 of those are S/X, that would put M3 production at 53-54,000, which is the upper end of their guidance... Also means M3 sales could be in the 60,000 range.*

*That is if this source is true

 

[sweter]

Tesla delivered ~103k vehicels in ALL of 2017. This quarter they delivered ~80k. I'm pretty sure they will beat 100k in Q4.

WAT.

 

[Unpilot]

Tesla delivered ~103k vehicels in ALL of 2017. This quarter they delivered ~80k. I'm pretty sure they will beat 100k in Q4.

WAT.

It is fun watching this juggernaut get rolling.

 

[carterm2]

Anyone?

80k / 12 (weeks) = 6666.666 per week

Wow!

 

[ebyard]

Would be good to get an update on reservations. Q3 call will be fascinating, and hopefully extremely boring since Elon won't be there. I hope he's on the factory floor during the earning call.