Tesla Continues to collapse.

[Uncle Dave]

You did what you do best and assumed the PPS would drop to that range in one day.
Do you need me to hold your hand and go back and show you what I wrote?

This POS is a falling chainsaw. Period.

You did what guys here do all the time in this thread - call it- - blow it - and then reposition afterward. You haven't been around the whole time but thread predicted imminent collapse about a year ago.

So you won't put a timeframe on it.

Hold my hand - lol- you asked if it was a trick question and quoted the wrong post .

So if you call 130 and stand back and a year later it gets there- are you "right"?

As for delusion I bought at 50 and sold at 250

UD

 

[Sleek-Jet]

We definitely agree on that.

In our industry, we have megbrain geniuses, math and algorithm wizards.
We never let them anywhere near a camera or microphone

Word on the street is Tesla has retained Mark Cuban's lawyer, who beat the SEC in the trial on Cuban's insider trading charges.

I think Musk and Tesla know that if they go to jury trial, likely they will win. It'll look like GM and Ford conspired with the SEC to try and torpedo Tesla. All Musk wants to do is save the world. Big mean industrial complex against a pot smoking, modern day Thomas Edison.

 

[Uncle Dave]

Musk hadn't been sued by the SEC a few weeks ago.

Now, it's $12.28 above the 52 week low, and has dropped over 30% from its 52 week high. How rash of me to make comments about the stock price.

I noticed you haven't mentioned the Bloomberg tracker in a while. Last week less than 2,200 Model 3s were produced. I wonder what happened to that promised 3Q return to profitability, positive cash flow promise, and 5,000 Model 3s per week.

https://www.bloomberg.com/graphics/2018-tesla-tracker/

But he is being sued now and it didn't break 52 week low.
It didn't even drop to the 6 month low.

You said the same thing when it dropped prior even in different threads- but when It came back you - silent as a mouse.

Bloombergs tracking is the best we've got - but even according to them it has gaps and gets updated in massive chunks from time to time usually at quarter end- we saw that last quarter. It went down to 1600 at one point - you claimed collapse (again)- then shot up to 5K.

You were dead silent when it was over 5 then 6K - which wasn't possible according to all your posts- remember? It would be till 2019 before he ever hit 5K

Remember Gill said it would be till 2019 before they could make more than 2K batteries a week.Musk said they achieved exponential growth on battery pack assembly and you said he was a liar and dint understand the word exponential.

If you go back I also said I didn't think he would be profitable in Q3, but would shave the burn considerably and make major progress.

I also said I think the company will survive but Elon will have to give a large chunk of his equity.

Hardly any way to have a balanced not tee-totalling position here .

UD

 

[Singleton]

Word on the street is Tesla has retained Mark Cuban's lawyer, who beat the SEC in the trial on Cuban's insider trading charges.

I think Musk and Tesla know that if they go to jury trial, likely they will win. It'll look like GM and Ford conspired with the SEC to try and torpedo Tesla. All Musk wants to do is save the world. Big mean industrial complex against a pot smoking, modern day Thomas Edison.

Tesla did not hire anyone.
Musk hired Chris Clark, a former U.S. attorney who successful defended Mark Cuban from insider trading charges, to serve on his legal team.

 

[Sleek-Jet]

Tesla did not hire anyone.
Musk hired Chris Clark, a former U.S. attorney who successful defended Mark Cuban from insider trading charges, to serve on his legal team.

Musk owns enough of the stock that what he does, so does Tesla....

 

[Singleton]

Musk owns enough of the stock that what he does, so does Tesla....

While he owns a ton of stock and can sell that to pay for his lawyer. Tesla would be sued by the share holders of the board approved and paid for Musk’s personal legal council, unless he has a clause in his compensation agreement allowing for that to occur.

 

[Sleek-Jet]

I would think the board will want to take steps to make that crystal clear then. It is a precarious situation, because it seems to me no one is really sure of the value of Tesla without Musk, this thread being ample evidence of that.

 

[rcmike]

I might put our lone open-rack hauler to it, but dead-heading back to the plant kills my profit.

Just bring the dead ones back like this guy...

 

[was thatguy]

Can one of you guys just let me know if he shoots another rocket off?

Those things are a lot cooler than a Tesla!

 

[RitcheyRch]

Elon Musk Out as Tesla Chairman After SEC Settlement ... Will Remain CEO



http://www.tmz.com/2018/09/29/elon-musk-tesla-out-as-chairman-remain-ceo-sec-settlement/

 

[Uncle Dave]

Elon Musk Out as Tesla Chairman After SEC Settlement ... Will Remain CEO



http://www.tmz.com/2018/09/29/elon-musk-tesla-out-as-chairman-remain-ceo-sec-settlement/

Better for Tesla
Better for Musk


UD

 

[rrrr]

Basically the same settlement Musk turned down, which caused the SEC to file suit, except now he's out for three years instead of two and a $20M fine. Would the stock have fallen 14% if he had just agreed to the sanction in the first place? Will it fall further because he is no longer chairman?

Who knows?

Tesla has also been sanctioned and will pay a $20M fine, and two new independent board members will be appointed.

"The SEC also today charged Tesla with failing to have required disclosure controls and procedures relating to Musk's tweets, a charge that Tesla has agreed to settle," the agency said in a statement.

"The settlements, which are subject to court approval, will result in comprehensive corporate governance and other reforms at Tesla—including Musk's removal as Chairman of the Tesla board—and the payment by Musk and Tesla of financial penalties."

 

[Sleek-Jet]

Tesla has agreed to appoint two new independent board members, establish a new committee of directors and create controls to oversee Mr. Musk’s communications, according to the SEC.

From the WSJ...

 

[Uncle Dave]

Good question sir. Market could go either way.

I think if he took the first deal it would have likely fallen a bit less.

Probably the worlds shortest lawsuit - started Thursday night ended Saturday afternoon.

20M for a guy with an estimated net worth of 19+B is a parking ticket, but hopefully hell keep his mouth shut.

Would be stand up if Musk pays any Tesla fine out of his own pocket.

UD

 

[warlock250]

The WSJ says spot freight prices for 53' air ride vans are approaching $2.20/mile, up over 100% from 2016. There's a huge demand for trucks right now.

How does Tesla deliver their weekly production in a timely fashion? Do they have access to rail cars?

I've seen a lot of 10 car haulers moving Teslas in the past few weeks so they are on it.

Sent from my SM-N960U using Tapatalk

 

[rrrr]

I've seen a lot of 10 car haulers moving Teslas in the past few weeks so they are on it.

Sent from my SM-N960U using Tapatalk

Tesla is building about 6,000 cars a week. I'm gonna guess they need at least 450 trucks per week to deliver them ten at a time. Some can make two trips a week, and there's probably 5% of the fleet undergoing service at any given time.

I'd like to hear pronstar's comments on this.

 

[grumpy88]

A friend is driving there new tesla home as I type

 

[Roaddawg]

A friend is driving there new tesla home as I type

Neighbor across the street just picked up a model 3 along with a coworker of mine

 

[Yellowboat]

All I know is tesla will either get bought out and split up or it will file bk, now when that will happen I am not sure, but with in 5 years it will happen

 

[Riverbottom]

My question, Tesla won't sell parts, how do you get one serviced ? I had a few towed to my shop for minor collision repairs and cosmetic repairs and could not even buy a side marker light. They are fun cars to drive, but I wouldn't own one until parts and service is figured out.

 

[Danger Dave]

For Tesla to really become something those two new board members should be Jerry Brown, and Eric Garcetti.

 

[rrrr]

Bob Lutz, former GM exec, seems to think there's trouble ahead.

I did some checking on the differences between GM and Tesla's build hours by comparing the number of factory employees and the number of cars built weekly.

Tesla has about 6,000 employees working the production line at their Fremont plant, and they build about 6,000 vehicles per week. The Arlington, TX GM plant has 4,125 employees, and they build 6,000 trucks and SUVs per week. Tesla is working 240,000 man hours. GM is working 165,000 hours, and building the same output as Tesla.

The above doesn't count the labor force at the gigafactory building battery modules. You see the problem. This is, of course, a raw comparison, because I don't know how much either company uses subcontractors or their cost.

In the second quarter, GM made a $1.81 profit per share, Tesla lost $3.04 per share.


Elon Musk is a nice guy who doesn't know how to run a car company, Bob Lutz, former vice chairman of General Motors, told CNBC on Tuesday.

"They will never make money on the Model 3 because the cost is way too high. He's got 9,000 people in that assembly plant producing less than 150,000 cars a year. The whole thing just doesn't compute. It's an automobile company that is headed for the graveyard," he said on "Closing Bell."

Lutz's comments come after news of a criminal probe into Tesla, as well as a new competitor hitting the market in the form of Audi's new electric car.

"The jaws are tightening and I think in another year or two we'll see a movie called 'Who Killed Tesla,' a conspiracy movie starring Leonardo DiCaprio," Lutz added.

Earlier in the day, Tesla said the Justice Department requested documents last month relating to Musk's tweets about taking the company private. Tesla has since shelved such plans.

The acknowledgement followed a report by Bloomberg that the federal agency has opened a criminal investigation into Musk's comments.

Telsa shares sank as much as 7.1 percent on the news, ultimately closing down more than 3 percent.

Lutz said Tesla is "hemorrhaging cash" and because of the federal investigation, the SEC will not let it make a capital raise.

He also said there is competition coming from not only Audi but Mercedes, BMW and Porsche. And those auto manufacturers can sell their cars at a loss and make up for it on sales of internal combustion vehicles.

"Tesla has no … tech advantage, no software advantage, no battery advantage. No advantages whatsoever," he said.

https://www.cnbc.com/2018/09/18/tes...aveyard-predicts-former-gm-exec-bob-lutz.html

 

[was thatguy]

Neighbor across the street just picked up a model 3 along with a coworker of mine

He picked up your coworker?

 

[Roaddawg]

He picked up your coworker?

Lol. Should have said a coworker picked one up as well

 

[Uncle Dave]

Oh theres trouble ahead I'd agree - but Bob Lutz's opinions don't really carry much weight anymore - he's been saying lots of this for a long time

Bob - "kiss the good times goodbye Lutz" - is the guy that says the car businesses best days are behind them after riding GM into bankruptcy. What a spokesperson.

Elon Musk is a nice guy who doesn't know how to run a car company, Bob Lutz, former vice chairman of General Motors, told CNBC on Tuesday.

Hilarious that a company that legally stole shareholders money through bankruptcy can take a high horse position talking about someone else losing money who's production is just now ramping.

In the second quarter, GM made a $1.81 profit per share, Tesla lost $3.04 per share.

lets ignore the millions of investors that got completely fucked out their money because of GM's poor management.
If Telsa were allowed to fuck the investors out of their money and BK out while magically keeping all the tooling and plants in place the investors paid for - like GM did, they'd have a much different outcome early on in the game.

"They will never make money on the Model 3 because the cost is way too high. He's got 9,000 people in that assembly plant producing less than 150,000 cars a year. The whole thing just doesn't compute. It's an automobile company that is headed for the graveyard," he said on "Closing Bell."

He's right at 150K cars a year that won't work - That whole quote's a meaningless word salad he cooked up - whoever stated 150K cars was the goal? That isn't the run rate anyone ever said would work. He's just tossing random formulas out as though they are endorsed by someone and telling a story around it like its actual news.
5K a week X 50 weeks a year is 250K cars is what those people are in place to build - different deal.

"Tesla has no … tech advantage, no software advantage, no battery advantage. No advantages whatsoever," he said.

Between Lutz and Munro - who do you trust to be right on the matter?

I think Munro is smarter than Lutz and can actually explain his position on each component and Ive yet to hear Bob go into any detail about any of those claims.

UD

 

[mjc]

Can one of you guys just let me know if he shoots another rocket off?

Those things are a lot cooler than a Tesla!

Next one was supposed to go yesterday but got bumped to 7th or 11th. Will go up from vandenberg and land back there.

 

[Uncle Dave]

Up 43 dollars at the bell.

Dad?

UD

 

[JBS]

Oh theres trouble ahead I'd agree - but Bob Lutz's opinions don't really carry much weight anymore - he's been saying lots of this for a long time

Bob - "kiss the good times goodbye Lutz" - is the guy that says the car businesses best days are behind them after riding GM into bankruptcy. What a spokesperson.

Elon Musk is a nice guy who doesn't know how to run a car company, Bob Lutz, former vice chairman of General Motors, told CNBC on Tuesday.

Hilarious that a company that legally stole shareholders money through bankruptcy can take a high horse position talking about someone else losing money who's production is just now ramping.

In the second quarter, GM made a $1.81 profit per share, Tesla lost $3.04 per share.

lets ignore the millions of investors that got completely fucked out their money because of GM's poor management.
If Telsa were allowed to fuck the investors out of their money and BK out while magically keeping all the tooling and plants in place the investors paid for - like GM did, they'd have a much different outcome early on in the game.

"They will never make money on the Model 3 because the cost is way too high. He's got 9,000 people in that assembly plant producing less than 150,000 cars a year. The whole thing just doesn't compute. It's an automobile company that is headed for the graveyard," he said on "Closing Bell."

He's right at 150K cars a year that won't work - That whole quote's a meaningless word salad he cooked up - whoever stated 150K cars was the goal? That isn't the run rate anyone ever said would work. He's just tossing random formulas out as though they are endorsed by someone and telling a story around it like its actual news.
5K a week X 50 weeks a year is 250K cars is what those people are in place to build - different deal.

"Tesla has no … tech advantage, no software advantage, no battery advantage. No advantages whatsoever," he said.

Between Lutz and Munro - who do you trust to be right on the matter?

I think Munro is smarter than Lutz and can actually explain his position on each component and Ive yet to hear Bob go into any detail about any of those claims.

UD

UD you are normally right on but in this case you are picking on Lutz with incorrect information. The old GM went chapter 11. Old Tex will tell you chapter 11 is when you have cash flow issues and no one loses money. You really need to review your info.

Thanks

 

[Uncle Dave]

UD you are normally right on but in this case you are picking on Lutz with incorrect information. The old GM went chapter 11. Old Tex will tell you chapter 11 is when you have cash flow issues and no one loses money. You really need to review your info.

Thanks

Always eager to learn more and fess up when I blow it or make a bad call.

I would also say I enjoy your posts tremendously sir!

FOR SURE my posts are tainted (yes I used the word taint) with my own personal perspective.

Chapt 11 is where no one loses money -well....that depends on who you are in the scheme of investments if you file with the court to recover, and or repossess your investment and you actually get it.

What you get (if anything ) is typically a giant haircut and pennies on your dollar.

Common shares went to -0- or so close to it I was beyond upside down I think it stopped at something like 60 cents and since no one ever paid 60 cents originally - you are underwater.

Anyone in at the level of a common stock investment got utterly hosed- unless they got the shares for free.

Even design products they bought and paid while it was riding down -they got a clawback on payment when they filed (I got burned twice).

From my perspective, I got utterly ripped off.

Lutz is like a drunk Gandpa wandering in and out of Thanksgiving dinner - had a lot of cred at one point but its waned considerably in the past half decade and although he is hugely entertaining he isn't really on point anymore.


UD

 

[pronstar]

Lutz arguably was responsible for just as many sales-clunkers as sales-successes.


Sent from my iPhone using Tapatalk Pro

 

[Uncle Dave]

If the stock tanked this place would be all over me - like they are every time it dips a few points.

Notice how quiet it is?


crickets.



UD

 

[rrrr]

.

That "few points" is beginning to look like a trend. The stock has given up all of its 2018 gains, and is down 12% YTD. The stock declined 4.4% in Thursday''s trading, and another 2.4% in after hours trading after he made his most recent tweets.

Musk appears to be unable to control his controversial Twitter posts, and this afternoon and evening he fired off some pointed criticism of the SEC. .

Musk has been saying for six months that the 3rd quarter would be GAAP profitable and cash flow positive. Neither of those metrics were included in Tesla's press release on Tuesday, which reported vehicle production numbers for the quarter.

While the number of Model 3s produced met 3Q guidance issued last quarter, the company built just 4,015 Model 3s per week in the 3rd quarter, instead of the much ballyhooed 5,000 they managed to squeeze out in the last week of the 2nd quarter and claimed would continue in the 3rd quarter. That didn't happen.

The difference of 12,805 vehicles over the 13 weeks of 3Q times the average 3Q selling price of roughly $49,000 represents a revenue shortfall of $627,445 million dollars, and the likely reason no financial numbers were released on Tuesday.

The falling stock price has moved farther and farther away from the strike price for the $2.1 billion in convertible bonds that mature in November and March. Some analysts have claimed Tesla's cash reserves have fallen to less than $2 billion. That, and Musk's improvident August tweets along with the resulting SEC action have made it unlikely the company will be able to raise any significant amount of cash from conventional sources to meet its needs in 2019.

.

Tesla CEO Elon Musk mocked the Securities and Exchange Commission in a tweet Thursday, calling the agency the "Shortseller Enrichment Commission," days after settling fraud charges brought against him by the agency.

The tweet, which is missing a word and appears to take a sarcastic tone, says "the Shortseller Enrichment Commission is doing incredible work" and commends the SEC on a name change that did not occur.

Later on Thursday, Musk responded to someone else's tweet suggesting that short selling should be illegal by agreeing and describing short sellers as "value destroyers."

The SEC's complaint, filed last week, suggests Musk tweeted the take-private proposal, in part, to lift the company's stock and punish short sellers. Investors betting against Tesla lost about $1.3 billion immediately following that tweet.

The proposed settlement, should it be approved, would require Tesla to "establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk's communications." That oversight would only take effect 90 days after the settlement takes effect.

https://www.cnbc.com/2018/10/04/elo...-after-settlement.html?recirc=taboolainternal

.

Considering the proposed consent decree Musk and Tesla agreed to contains language directing the Tesla board to screen his tweets, emails, and other electronic communications prior to their release, I think this poke of the bear is quite ill advised.

Thursday the federal judge that must approve the consent decree laid out a significant impediment to finalizing the deal. The judge can reject the deal, or mandate stricter punishment and restrictions on Musk and Tesla. Musk's petulant tweets this afternoon and evening will likely not be well received by the judge.

.

Tesla CEO Elon Musk's settlement with the Securities and Exchange Commission hit a snag Thursday after the federal judge charged with approving it asked them to justify the agreement.

U.S. District Judge Alison Nathan said the court needs to make a "minimal determination of whether the agreement is appropriate" before she would sign off on the deal. She said the law requires her to determine whether the enforcement action is "fair and reasonable, with the additional requirement that the public interest not be disserved."

The judge gave them a week to submit a joint letter explaining why she should approve it. Tesla's stock was down 5.4 percent in midday trading to $278.75 a share.

Former federal prosecutor Jay Hulings said the order was unusual, "but not unheard of." "It's odd given the nature of this settlement. If there is a class action, it's common. But just for SEC enforcement action, particularly with a big fine, it's unusual," he said.

Charles Elson, director of the Weinberg Center for Corporate Governance at the University of Delaware, said the delay in reviewing the case is not unusual.

But what the court will do is an open question, he said. Federal courts have rejected SEC settlements in the past if the judge thinks they're too lenient. "The court is perfectly within its jurisdiction to throw a settlement out," he said.

Often, courts will require stricter terms to approve the settlement. For example, the court could require Musk to step down from Tesla's board entirely, which would be a good move, Elson said.

"I am a little disappointed they didn't require him to leave the board," he said. "I understand the argument for not replacing him as CEO, but I certainly don't think he should be overseeing himself."

https://www.cnbc.com/2018/10/04/elon-musks-settlement-with-sec-hits-a-snag.html

.

Around 11 PM EDT Thursday, Musk sent several out several more tweets, this time accusing Tesla institutional shareholder BlackRock of complicity in lowering Tesla's share price by aiding short sellers.

.

Tesla CEO Elon Musk has accused large fund managers such as BlackRock for fueling short sellers, a group of investors he has been criticizing on his Twitter account.

In a series of Twitter posts on Thursday night, Musk alleged that BlackRock and other financial firms pocket "excessive profit" from lending shares they hold to short sellers because "they're suffering a net loss."

He tweeted "There is no rational basis for a long holder to lend their stock to shorts, as it dilutes the shareholder base & gives the short a strong incentive to attack the company by whatever means possible, including regulators."

Short sellers are investors who bet on the decline of a security, such as a stock. They make money by selling the shares they borrow, and hope the price falls so they can buy them back at a lower price and make profits from it.

Musk also said those funds were "pretending to charge low rates" for their passive "index tracking" products.

.

Musk's comments were criticized by several investment experts, pointing out Musk's tweets illustrate his lack of knowledge regarding shareholders in a long position that lend shares to short sellers. Also, note the line I bolded above, which is another irrational criticism of the SEC, and a possible trigger which could scuttle the consent decree. He's playing with fire.

.

Some have called out Musk for not understanding how markets work. Several people who replied to his posts pointed out that investors who believe Tesla would do well have the incentive to lend their shares to short sellers.

"Longs can earn yield while some idiot bets against the stock they believe will go up. There's every incentive for longs to lend out stock," wrote Dave Lauer, who studies market structure and volatility. "Longs" refer to investors who buy an asset on the expectation that the price will rise.

https://www.cnbc.com/2018/10/05/elon-musk-says-on-twitter-blackrock-helps-short-sellers.html

 

[Sleek-Jet]

It isn't paranoia if they really are out to get you...

 

[KingofBeers]

Elon Musk claiming short sellers are the reason for the price decline is simply laughable. The guy is delusional.

 

[Uncle Dave]

....still above the 52 week low and in a spot where its recovered from the last 3 times it was here.
When/if it breaks the 52 week low the potential for a run becomes much more likely, if not my guess it will just keep bouncing like it has.

Actually going to the lake today so won't be able to watch in real time.

Guy just can't help himself with the tweets.

He missed the 5K target, but changed the mix up to the highly profitable dual motor units.

Not sure whats more important 5K units or equal or greater profit to 5K RWD cars?

By all accounts, however - even his detractors are coming around to admit he accomplished the impossible shipping something like 80K total cars and 50K + 3's.

Doesn't look like these guys are going anywhere regardless of what the stock price is.

Will be interesting to see the where the financials are at how much he shaved the burn or if they can squeak out a tiny profit (doubtful)

UD

 

[SBMech]

It isn't paranoia if they really are out to get you...

You have to admit he brings it upon himself however.

 

[Sleek-Jet]

Ouch... down another ~$20.00 today.

Maybe Elon is crazy like a fox, drive the price of the stock down and then take it private. It wasn't worth $420 but it might be worth $275...

 

[rrrr]

....

By all accounts, however - even his detractors are coming around to admit he accomplished the impossible shipping something like 80K total cars and 50K + 3's.

Doesn't look like these guys are going anywhere regardless of what the stock price is.

Will be interesting to see the where the financials are at how much he shaved the burn or if they can squeak out a tiny profit (doubtful)

UD

They have "accomplished the impossible" by continuing to burn through money and bloated inefficiencies in production. The latest crisis is apparently due to lack of foresight. Tesla can't deliver the cars they are building.

There are accelerating indications Tesla isn't shipping the M3s they are building, according to this NY Times article. The number of cars involved didn't seem excessive to me, and I was skeptical about the claim, until I read this part of the article:

Mr. Musk recently acknowledged that the company was having difficulty shipping cars to customers, saying Tesla was in “delivery logistics hell.”

He attributed the problem to a shortage of trucks to haul cars around the country.

“That’s total nonsense,” said Mark B. Spiegel, a managing partner at Stanphyl Capital, which has a large position shorting Tesla. He is a vocal critic of the company and Mr. Musk on Twitter. “A quick search would reveal plenty of car hauler capacity. Perhaps Tesla doesn’t have the cash to pay for them.”

The Auto Haulers Association of America is not aware of any shortage of car haulers, nor of any other automakers that are having trouble shipping new vehicles. “There’s quite a few carrier companies in California,” said Guy Young, the association’s general manager.

Mr. Musk also said last week that Tesla had started producing its own trailers to transport cars to customers. Tesla has declined to say where the trailers are being made and whether the design has been approved by the Federal Motor Carrier Safety Administration, which regulates buses and transport vehicles.

.

Musk sent out the following in a tweet:

.

Apologies, we’re upgrading our logistics system, but running into an extreme shortage of car carrier trailers. Started building our own car carriers this weekend to alleviate load.

.

This is crazy. Tesla is going to build car carriers? Or does he mean they are having a manufacturer build them?

Another clue Musk is making completely ridiculous decisions:

.

In the rush to ramp up Model 3 production, Tesla has faced growing issues with vehicle quality. Some customers have complained that cars arrived with scratches, loose parts and other manufacturing defects.

Over the summer, Tesla advertised online for technicians to repair vehicles coming off the assembly line, suggesting that a significant number needed reworking.

That may dovetail with a new headache that has cropped up: severe shortages of replacement parts. Some owners needing collision repairs have complained of waiting a month or longer for new bumpers, centers, door panels and taillights to arrive.

Tesla said recently that a solution was on the way: a chain of proprietary body shops to speed repairs.

Gabe Hoffman, general partner at Accipiter Capital Management, a hedge fund that has shorted Tesla stock, said he was skeptical that the company would follow through. “It would be spending money they don’t have,” he said.

The long wait for parts suggests that Tesla has none or very few on hand. “To me, that shows a company in financial crisis,” Mr. Hoffman said.

.

It appears Musk increasingly believes the solution to Tesla's problems is the implementation of an autarky scheme. He thinks he is the only one that can solve the issues, and is making decisions that are almost bizarre.

He apparently cannot delegate authority. He is inserting himself into issues that could easily be solved by competent executives. Unfortunately, many of those executives have left the company. Forty one resignations have occurred in 2018, fifty eight in the last twelve months.

The chief accounting officer, Dave Morton, resigned just two months after taking the job. His first day was August 6th, one day before Musk's "funding secured" tweet. Morton said Musk and the board weren't interested in hearing his objections to the scheme, particularly those regarding Musk's plan to include individual stockholders in the transaction.

The abandonment of the proposal revealed that SEC regulations prohibit the involvement of individual shareholders in taking a public company private.

Morton was no novice, he was the CFO at Seagate before joining Tesla.

Musk's apparent decisions to build car carriers and open collision repair shops show that as events spiral out of control, he is becoming more insular and detached, forcing inefficiencies on Tesla that are conceived without regard for reason or reality.

UD, I fail to see what relationship the 52 week low of the stock has in the train wreck that's unfolding. A more telling figure is that the stock price is 33% below the 52 week high. Musk's criticism of the SEC on twitter last night was directly responsible for a 7% drop in the share price.

You're whistling past the graveyard if you think TSLA is going to rebound just because it has in the past. The 3Q financials are going to reveal more instability. It appears likely Musk's repeated claim that Tesla would be cash flow positive in the 3rd quarter was not met.

Twenty five days from today, $230 million in Solar City convertible bonds mature. On March 1st, a $920 million Tesla convertible looms large.

These obligations and continued operating losses will almost certainly require Tesla to rapture capital markets for additional funding.

Given the financial position of the company with $10 billion in debt, the removal of Musk as chairman, the uncertainty Musk can conform to the terms of the consent decree with the SEC, and the fact Tesla has already collateralized every asset it has, the ability of Tesla to find more capital in the markets is uncertain.
.

 

[Uncle Dave]

Between the pages and pages of stuff you post from third parties and yourself, I cant quite figure out where you are on them.

So collapse again?

Or just new funding?

Pretty much every 3rd party article you've posted since last November has claimed he'd run out of money and fail before he ever got to where he did in Q3.

Stock been pretty resilient but the real test will be when they announce Q3 results- could drop, could skyrocket.

Agreed about Elons mouth - he could piss away tons more if he continues flapping his trap

I think the stock will be challenged - thats why I got out at 250, but don't see it collapsing - too much momentum and big money in it.

Big picture - It's still up something like 400% since 2013.

If he can deliver what he builds and can continue the ramp - they won't have money problems for long. at 50K plus units a quarter at 30% profit per - and still ramping thats a lot of dough one can borrow against (again)

They haven't even started leasing the model 3 yet and that trick kept BMW moving 3 series for decades so I dont see demand going down but up as they start leasing and ultimately sell cheaper versions.



UD

 

[rrrr]

Where else would I get information if not from third parties? Unlike the Tesla zombies, I don't believe Musk is infallible. I'm posting things I see as relevant, and comment on them.

It's not "pages and pages", the above is 13 paragraphs. If you don't want to read it, I don't care.

Your support of Tesla and belief it has worked miracles seem to ignore some significant facts.

Tesla's position is increasingly perilous, and the reporting on that position is essentially accurate. As for analysts, yes, they are predicting a reckoning. That's not an extreme position.

Tesla is out of money. The consensus "since November" has been Tesla will require a cash infusion in the fourth quarter 2018 or first quarter 2019. I don't see that as being inaccurate.

 

[Sleek-Jet]

I think RD has a car carrier Elon can borrow...

 

[Uncle Dave]

Where else would I get information if not from third parties? Unlike the Tesla zombies, I don't believe Musk is infallible. I'm posting things I see as relevant, and comment on them.

It's not "pages and pages", the above is 13 paragraphs. If you don't want to read it, I don't care.

Your support of Tesla and belief it has worked miracles seem to ignore some significant facts.

Tesla's position is increasingly perilous, and the reporting on that position is essentially accurate. As for analysts, yes, they are predicting a reckoning. That's not an extreme position.

Tesla is out of money. The consensus "since November" has been Tesla will require a cash infusion in the fourth quarter 2018 or first quarter 2019. I don't see that as being inaccurate.

13 paragraphs? between posts 1032 and 1038 there a lot there to follow - that's ok its just a slog that takes time to follow back.

I don't remember using the word "miracle" maybe I did, nor saying Elon is "infallable."
I'm sure I didn't say that because I don't believe it, but people ascribe sayings to me all the time.

He has achieved a very difficult feat delivering 50K cars and having the top 5th selling auto in the US.
Many articles you've quoted have said he couldn't or wouldn't be able to do.

I dont think they have an easy road, or that Elon is infallable, but I'm more bullish than you are for certain.

I agree another round or two of funding isn't unlikely.

Heres your post from Nov 17 -where you are firmly in the collapse camp.

You've moved from that position to "sticking around" with 1-2 more funding rounds.

UD

 

[boataholic]

As an owner I just don't ever want the Free Super-Chargers for life to go away. I'm at 15,000 miles of free driving.

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[SBMech]

As an owner I just don't ever want the Free Super-Chargers for life to go away. I'm at 15,000 miles of free driving. View attachment 690154

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Wonder how long that will last, even the grandfathered ones.

http://fortune.com/2018/09/17/tesla-supercharging-cost/

Tesla is cutting the cord on free supercharging for life.

When you buy a new Tesla Model S, Model X, or Model 3, you’ll no longer be given the option of free supercharging for life. Instead, Tesla has announced a new referral program that will give $100 in Supercharging credit to new buyers.

Tesla has been offering a deal on Supercharging for years. In order to qualify for it, you’d need to buy a new Tesla (tsla, -6.75%) and order the vehicle with a referral code from someone who already owned a Tesla. Doing so meant you could go to Tesla’s Supercharging stations around town and boost your car’s battery life at no charge.

Now, though, the referrals will only net you $100 in Supercharging credit. And while that’s nothing to scoff at (it should give you a few fill-ups), it’s nothing like the offer Tesla had before.


From a business perspective, however, the move might be a smart one for Tesla. The company has essentially been handing away revenue to its customers for years. And now, with trouble in the business and fears over its future, Tesla appears to be in a cost-cutting and revenue-generating mode.

Exactly what the move might mean for Tesla’s bottom line is difficult to determine. But auto news site Electrek, which earlier reported on Tesla’s latest move, recently found that the company’s Supercharger network has delivered 400GWh of charge to its vehicles. Given Tesla’s mix of pricing, it’s possible it could have made between $50 million and $100 million on the sale of all of that energy if it didn’t have free Supercharging available, according to the report.

 

[boataholic]

Wonder how long that will last, even the grandfathered ones.

http://fortune.com/2018/09/17/tesla-supercharging-cost/

Tesla is cutting the cord on free supercharging for life.

When you buy a new Tesla Model S, Model X, or Model 3, you’ll no longer be given the option of free supercharging for life. Instead, Tesla has announced a new referral program that will give $100 in Supercharging credit to new buyers.

Tesla has been offering a deal on Supercharging for years. In order to qualify for it, you’d need to buy a new Tesla (tsla, -6.75%) and order the vehicle with a referral code from someone who already owned a Tesla. Doing so meant you could go to Tesla’s Supercharging stations around town and boost your car’s battery life at no charge.

Now, though, the referrals will only net you $100 in Supercharging credit. And while that’s nothing to scoff at (it should give you a few fill-ups), it’s nothing like the offer Tesla had before.


From a business perspective, however, the move might be a smart one for Tesla. The company has essentially been handing away revenue to its customers for years. And now, with trouble in the business and fears over its future, Tesla appears to be in a cost-cutting and revenue-generating mode.

Exactly what the move might mean for Tesla’s bottom line is difficult to determine. But auto news site Electrek, which earlier reported on Tesla’s latest move, recently found that the company’s Supercharger network has delivered 400GWh of charge to its vehicles. Given Tesla’s mix of pricing, it’s possible it could have made between $50 million and $100 million on the sale of all of that energy if it didn’t have free Supercharging available, according to the report.

That's the one topic of conveesation between Tesla owners. It 's crazy to think a car manufacturer would give away fuel for free. All good things must come to an end at some point. So far have two years of free charging, as I stated I have set up a high power wall charger at home for when that time comes. The way I look at it now is enjoy it while it last. If and when this happens Solar will be next on the agenda.

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[boblins]

having the top 5th selling auto in the US ???

Very confused by this remark. Number 20 is selling at a rate of nearly 200,000 units per year. Even if you eliminate SUV and pickup sales to be in the top 5 would mean selling around 15,000 units a month (selling not building).

Unless you mean that they are in the top 5 electric vehicles which is very likely in a niche category with limited volume and competition.

 

[Uncle Dave]

having the top 5th selling auto in the US ???

Very confused by this remark. Number 20 is selling at a rate of nearly 200,000 units per year. Even if you eliminate SUV and pickup sales to be in the top 5 would mean selling around 15,000 units a month (selling not building).

Unless you mean that they are in the top 5 electric vehicles which is very likely in a niche category with limited volume and competition.

nope 5th best selling auto in August (not counting trucks and SUV's)

Im pretty sure in September it passed the corolla as well.

Thats for the month not YTD total aggregate.

https://www.teslarati.com/tesla-model-3-august-passenger-car-overall-auto-sales/

The free charging thing looks dead going forward - smart.

UD

 

[pronstar]

Throwing out trucks and SUVs is a bit disingenuous.

People are replacing cars with SUVs - car sales are in the crapper globally and not looking to rebound.



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[JBS]

Musk and Trump have the same Twitter publicist. [emoji11]


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[Uncle Dave]

Throwing out trucks and SUVs is a bit disingenuous.

People are replacing cars with SUVs - car sales are in the crapper globally and not looking to rebound.



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That's how that auto industry does it themselves, but I know what you mean.

UD