|From: kidl||11/23/2020 8:53:05 AM|
|Tesla gains after Wedbush points to major inflection of global EV demand|
Nov. 23, 2020 6:57 AM ET Tesla, Inc. (TSLA) By: Clark Schultz, SA News Editor 32 Comments
- Wedbush Securities is increasingly confident strong global electric demand will benefit Tesla (NASDAQ: TSLA).
- "With the sustained path to profitability and S&P 500 index inclusion achieved, the Tesla bull story is now all about a stepped up EV demand trajectory into 2021. Overall we are seeing a major inflection of EV demand globally with our expectations that EV vehicles ramp from ~3% of total auto sales today to 10% by 2025," writes analyst Dan Ives.
- Ives and team think the demand dynamic will disproportionately benefit Tesla over the next few years, especially in the key China region, which they forecast could represent ~40% of its EV deliveries by 2022 given the current brisk pace of sales with +150K deliveries in its first year out of the gates with Giga 3.
- China and Europe EV demand are expected to remain EV hot spots for Tesla into 2021.
- The Wedbush bull case price target on Tesla goes to $1,000, and the base case price target is hiked to $560. The average Wall Street PT on Tesla is $385.13.
- Shares of Tesla are up 2% premarket.
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|From: Eric||11/23/2020 5:12:05 PM|
| Investor's Corner|
TSLA: Wall St acknowledges Tesla’s ability to produce nearly 1M cars in 2021
Tesla Model 3 production line in Gigafactory 3, Shanghai, China. (Credit: Tesla)
By Simon Alvarez
Posted on November 23, 2020
Seemingly against all odds, Tesla ( NASDAQ:TSLA) has decided to pursue its goal of delivering half a million cars this year. This was despite the presence of a pandemic and an auto market that is weighed down at best. Yet despite these headwinds, signs from Tesla’s Fremont Factory and Gigafactory Shanghai suggest that the company’s 500,000-vehicle delivery goal may be feasible.
Tesla is determined to ramp its operations significantly over the years, especially as the company spreads its business to include cell production and its battery storage and solar division. With this in mind, Tesla’s goals for the coming year are extremely ambitious, with the company seemingly poised to deliver 1 million vehicles in 2021. This is an insane amount that essentially doubles what the company will deliver this year. This scenario is quite realistic for TSLA bulls, but for the company’s longtime bears, not so much.
Interestingly enough, it appears that some financial institutions are starting to take Tesla’s vehicle production capabilities more seriously. Just recently, Morningstar suggested that Tesla may very well be on track to deliver 950,000 electric cars in 2021 and about 1.6 million vehicles in 2022. This was according to analyst David Whiston, who cited the expansion of the company’s manufacturing capabilities.
“With new plants partially opening in Berlin, Texas, and the Model Y Shanghai plant all next year, we think 2021 deliveries of around 1 million units are not unrealistic,” Whiston wrote.
Whiston did not stop at 1.6 million vehicles per year. As noted in a Forbes Advisor report, the Morningstar analyst remarked that over the coming decade, Tesla could very well hit nearly 23 million cars sold. That’s an impressive number for a company as young as Tesla, and one which was struggling to produce 5,000 Model 3s per week just a few years ago.
Inasmuch as Morningstar’s estimates are optimistic, Tesla’s vehicle production ramp has actually been evident for some time now. This year alone, Tesla’s output is nearing half a million cars, and that’s with the company operating with pretty much one and a half vehicle production facilities. Today, only the Fremont Factory and Gigafactory Shanghai’s Phase 1 area are producing cars for Tesla.
Tesla’s vehicle factories are only bound to increase in number in the coming years. Giga Shanghai’s Phase 2 zone is complete and is expected to start producing the Model Y next year, and Gigafactory Berlin is expected to start Model Y production sometime next year as well. Even Gigafactory Texas, the site where the Tesla Cybertruck will be produced, seems to be on track to start operations in 2021. If Tesla can draw out half a million cars with one and a half factories, one could only imagine what the company could accomplish with Gigafactory Shanghai, Giga Berlin, and Gigafactory Texas fully ramped.
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|From: kidl||11/24/2020 8:30:57 AM|
| Tesla valuation nears half a trillion |
Driven by another surge in Tesla's (NASDAQ: TSLA) share price, Elon Musk's net worth soared $7.2B to $127.9B on Monday, passing Bill Gates to become the world's second-richest person. Not looking to take any cheap shots at Ford (NYSE: F), but yesterday's market cap gain for Tesla isn't all that far off from the total market cap for the Blue Oval of about $35B. There is plenty of general enthusiasm over the impact of a Biden administration for the EV sector and hopes that EV sales in China will accelerate with the support of Beijing. On the latter note, Wedbush Securities analyst Dan Ives thinks China presents eight to nine times the opportunity for EVs in the near term as sales in the U.S. TSLA +4.6% premarket.
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|From: Julius Wong||11/24/2020 8:40:47 AM|
Elon Musk surpasses Bill Gates as the world's second-richest person as Tesla's market value nears $500 billion
Asa Mathat | D: All Things Digital
Elon Musk has overtaken Bill Gates as the world's second-richest person. His net worth is now $128 billion.Musk's wealth has been on a steady climb this month: Tesla's market cap soared as high as $498 billion Monday as it is set to join the S&P 500 in December.The jump in Musk's net worth places him second to Jeff Bezos, whose net worth stands at $182 billion.He predicted last year that self-driving Teslas, which are still being refined, would boost the company's market cap to $500 billion. Visit Business Insider's homepage for more stories.Elon Musk has officially overtaken Bill Gates to become the world's second-richest person.
Musk saw his net worth rise by about $7 billion to $128 billion on Monday, according to the Bloomberg Billionaires Index, as Tesla's market value nears $500 billion.
He predicted last year that self-driving Teslas, which are still a work in progress, would boost the automaker's market cap to $500 billion. At the time of Musk's prediction, its market cap was under $45 billion.
The increase in Musk's wealth places him second to Jeff Bezos, who is currently the world's richest person with a net worth of $182 billion.
Musk and Gates have already had a conflicting year as they have repeatedly disagreed over everything from the coronavirus to electric cars. The public differences began when Gates said even though he thought Tesla has helped drive electric-car innovation, he bought one from Porsche. Separately, Musk even called Gates a "knucklehead" for criticizing his efforts on conducting coronavirus antibody studies.
Tesla's surge in value has been driven by a series of good news recently, from its inclusion in the exclusive S&P 500 index and Morgan Stanley upgrading its stock to "overweight" for the first time since 2017.
Goldman Sachs expects a tidal wave of large-cap mutual funds tracking the S&P 500 to fuel another rally for the automaker next month, when it will join the index as one of the 10 most valuable members on December 21.
Tesla shares were up 2% in pre-market trading on Tuesday, and its stock is up almost 730% this year.
Musk's net worth is not solely down to a large stake in Tesla, but also to his other companies, space exploration group SpaceX and infrastructure and construction firm The Boring Company. He previously said he wouldn't take any cash salary from Tesla until it hits $100 billion in market cap. His immense fortune does not mean he is a lavish spender: he's said he wouldn't like to own physical possessions or "own a house." He even sold two of his California mansions.
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