Alternatives to Tesla Stock

The huge Tesla loyalty (discussed elsewhere in this forum, I see) is interesting, but I'm wondering if this is not just unique to Tesla. Are there other renewable companies or EV manufacturers that would offer a similar opportunity for investment as Tesla, by way of loyal investors who are willing to ride out any storms? While Tesla stock seems to be a solid choice, it's also pricey. Are there others in this sector that seem to be equally resilient to distressing news? 

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Check the battery producers...

 

SHANGHAI (Reuters) - Shares in China’s biggest lithium battery maker Contemporary Amperex Technology Ltd (CATL) (300750.SZ) soared 44 percent on their debut in Shenzhen on Monday, helped by investors seeking to benefit from a government policy to embrace clean energy.

CATL, based in southeast China’s Fujian province, sold 217 million new shares, or 10 percent of its enlarged capital, at an initial price of 25.14 yuan ($3.92) each.

The shares closed at 33.20 yuan, having risen by the maximum allowed for newly listed stocks on their first day of trade, giving the company a market capitalization of $12.3 billion.

https://www.reuters.com/article/us-catl-ipo-stocks/china-battery-maker-catl-soars-44-percent-in-stock-market-debut-idUSKBN1J70A8

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BeamMeUp - ES - investor interest in Tesla stock has never been rational, and has more to do with investor's love of a good technology story and Musk's genius for boosting. I cannot see any way that Tesla could possibly realise the value investors attach to the stock. The short answer to the question is that no other company has a CEO with the ability to have investors spellbound with what is often total BS, so no. The shares quoted by GA are Chinese and almost anything can happen with those stocks. The Chinese stock market is a  casino first and foremost. (In the west those markets are also casinos but they raise capital - in China they are just casinos.)

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Short answer is no. Nobody is clamoring for the Chevy Bolt (it's too expensive for starters and it's ugly). If Tesla fails, it could be awhile before there is really more of an EV footprint. GM tried years ago with hybrid SUV's, and nobody bought them because they cost too much money and the fuel savings weren't there.

People in America love their big SUV's--this is simply a fact. Why? Because they have families. People are still making babies like crazy. You think they are going to stuff four kids in a Chevy Bolt? It's never going to happen.

Tesla is a sex symbol. It makes people think they are cool. It makes them feel like they have arrived. They believe in Musk's many visions. Look at all of the crap companies that are overvalued and then compare them to Tesla. UBER is crap. Facebook is basically crap. I could go on and on. Now compare those companies to the possibilities with Tesla and SpaceX. There IS no comparison. Elon wants to actually change how the world runs in many different areas. He actually makes stuff. He's actually trying to do something with our infrastructure--which is more than I can say for ANY politician (see the failure of the so-called bullet train in Dallas that is never going to get off the ground).

Most Americans simply can't afford a Tesla hence it'll never be a widely driven car unless they can really get the costs down (I don't believe they ever will). Americans live off of credit (just like our gov't). Corporate profits may be at all-time highs but people's bank accounts aren't. Over 40% of Americans make $15/hour or less. Over 75% of Americans live paycheck-to-paycheck. 

Costs for everything keep going up when they should be going down with technological advancements. New car prices keep going up. Look at the price of computers over the years and how you can get a really good computer for nominal costs. Not the case with health care, food, housing, cars.

Tesla problems (I'll only list a few)

  1. Not actually having a base model that sells at $35K. Basically, this has been a bait-and-switch.
  2. The Model 3 will likely never be profitable for Tesla
  3. Lithium Ion batteries are genuinely a problem if they get disturbed in a crash and they aren't environmentally friendly.
  4. Tesla's largest Supercharger stations are located in China and not the U.S. Unless they can establish local production in China, I wonder what will be the future of Tesla there for a myriad of reasons (trade wars, etc.).
  5. Tesla batteries aren't made for driving long distances. It takes too long to charge at their stations. If they can improve the battery life by another couple hundred miles and cut the charging time in half, it makes it much more feasible.
  6. Tax credit is going bye-bye but will all of the Tesla Model 3 reservation holders really care about those costs?

 

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