Everyone hates Tesla now

Elon’s fault, it always is

Author

Tim Vollans
January 25, 2024 • Estimated Reading Time: 4 minutes

🧠 The Big Brain
Rotations & Gyrations

Time to play catch up?

So far, this year has been all about those chip stocks.

Look at these returns - we’re not even a month into the year 🤤

Maybe a bit too much, too soon…?

Or maybe ‘everyone else’ simply has to play catch up…

Pro Premium Members: click here to read.

Subscribe to Fink Pro to read the FULL Big Brain piece, every single day (30-day free trial so absolutely NO risk).

âš¡ The Spark
Everyone hates Tesla now

Elon’s fault, it always is

The worst performing megacap by some distance in 2024.

Tesla’s share price was down by over 16% on the year at yesterday’s close, trading 207.83.

Things got worse after earnings, and Tesla shares are 7-8% lower in pre-market…

The masculine urge to buy this dip and argue with the market is strong… (Must. Resist)

So, what’s going on?

Well, basically. Uncertainty. Away from the permanent distraction of crazy things Elon says because he has no filter, it’s a tough environment.

Tesla expect lower sales growth this year. Margins look to be settling at a lower level now (a key tool used to fight off established automakers)

And there’s still the Chinese competition to contend with. Musk says they’ll dominate unless robust trade barriers can be established:

[Chinese car companies] "will have significant success outside of China, depending on what kind of tariffs or trade barriers are established,"

"If there are no trade barriers established, they will pretty much demolish most other car companies in the world,"

"They're extremely good."

Musk on Tesla earnings call

Tesla plans to begin production of a lower cost model next year, but details are light.

Analysts have been quick to put the boot in and cut price targets, chasing the market as always…

💡 The Lightbulb
Simpler Times

Privacy used to matter

Came across an incredible story from 2002, and it got me thinking about data.

Here’s the headline:

The outrage was palpable. Imagine the police just turning up and going through your rubbish.

This was in the days before smart phones in every hand. Everything was printed.

Anyway, these journalists published an extensive list of everything they found in these powerful figures rubbish.

The list, and what it can tell you about a person, is eye-opening.

Those in power didn’t appreciate it…

Fast-forward 20 years, and our digital footprint is larger than ever. Nobody needs to go through our ‘trash cans’.

It’s all out there, on a computer in the sky…