Ross Gerber, Gerber Kawasaki CEO weighs in on Tesla’s earnings beat, the outlook for the company, and the electric vehicle market competition heating up.
#Teslastock #Teslaearnings #Tesla
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Long TSLA
Give me a break, there is a profit only because of the 100% margin regulatory credits.
No it’s not. Credits only account for 300 millions out of the 800.
What is wrong with competition buying factories to compete against themselves?
First, do you even math?
Second, this is a part of the auto industry business. Are they supposed to turn down free money?! Imagine what would be screamed if they said “No GM, VW and anybody wanting to pay us for reg credits… we do not want your HUNDRED OF MILLIONS of dollars!” Elon’s a maniac! You can’t trust him! FRAUD!!! 🤣
There’s only a 5 year world supply for lithium batteries (and Tesla is using up too much of that for the few ,
compared to how
little a smartphone uses for everyone). Current electrical infrastructure can’t supply the electricity to all homes.
Powerlines
contribute to forest fires. Lithium batteries are mined by African children. Lithium batteries create toxic disposal
wastes.
There needs to be a law that prioritizes lithium for smartphones over electric cars because cars have petroleum and hydrogen
alternatives.
Providing more lithium batteries for EV cars is just opening a can of worms because the electrical grid cannot support every
house.
Not everyone can or wants to incur the cost of solar panels (which from my friend’s experience only lasted 7-10 years)
I have 4 cars, 2 cars (kids’ cars) are parked outside.
A battery manufacturer should sell to the highest payer. Ford, GM, and VW have deep pockets and they can pay more for the
batteries
and put Tesla out of business.
An electric truck makes no sense because tests have shown that the battery drains faster when it has to pull. Hydrogen
vehicles make
more sense in trucks than EV. Hydrogen vehicles fuel up in 5 minutes like gas cars and they have a 1000mpg range; EV you
have to
wait 45+ minutes (and you have to wait for the guy in front of you to finish his charging)
THere isn’t a plugin at every corner like a a gas station and the charge is 50 minutes+ (assuming you aren’t waiting for the
guy
before you to finish his charging)
Gas stations pay tax to maintain roads, EVs don’t
That would cause a lot of unemployment.
@Austin Tebbe “He” regurgitates the same crap over and over for months in these threads, probably paid by effected industries. You won’t get a response.
You’ve been posting this same nonsense for how long now? And by the way, how much oil
Is left in the earth?
This guy is every were
@HardMF More than you might think, fracking multiplied it by 10X…vast majority will remain in the ground.
A Shell Oil CEO, back in the ’90’s said: “The stone age didn’t end because we ran out of rocks and the petroleum age won’t end bc we run out of oil. He couldn’t have know how correct he was.
Not all this rubbish AGAIN!! All these “points” have been disproven over and over again…
Eye opening analysis, good one.
Biggest bubble ever
Then, short it.
I usually do the opposite what yahoo tells me, so far so good
So what did you do here? Short TSLA?
@Bo McGillacutty no, i cut my position, and ready to buy the dip
@YUAN WANG I was ‘smart’ enough to trade it well a few times and to “bet the ranch” starting at $38 last yr. but I’m not clever ‘nough to trade it in general…done very well simply holding, only adding a little in dips.
@Bo McGillacutty i usually hold and add in dips when the stock is unpopular among wall street, when wall street is starting to praise it, it’s time to be careful.
@YUAN WANG I get that but “starting to” only, by no means has it become consensus.
Buy the stock now
Get rich in 10 years
@Speedy Chicken “short the stock now get rich in 3.59 months.” Said a few billionaires who did the same and got knocked down to a millionaire status.
@Speedy Chicken how to become a Millionär by shorting Tesla?
Befor you have to be a Billionär.
@DrgnFlys Wish I can round up all the smart ass who throw shade at Tesla and see how their portfolios are doing in 5 years.
@Throne Theone in a quarter? Who the hell knows. Who the hell cares. Give this thing 5-10 years and you will be a winner many times over. Buy & Hold beats Timing the Market or Day Trading 99 times out of 100.
@Speedy Chicken , how many shares are you shorting now?
nobody takes insurgents seriously until they start winning. automakers still not taking this seriously…smdh
ez money
This guy is right on the mark. It’s the ecosystem stupid.
Tesla Short – BYD Long
Every bitcoin investor right now is just smiling at the price of bitcoin as it held strong and indeed valuable enough to generating good ROI. More persons are gonna become millionaires and we have bitcoin to thank for that
Nice! I would definitely write to this woman right away
Being able to secure a steady inflow of returns from my bitcoin investment is just great , especially with this whole pandemic situation. It’s just amazing I found out dr Lydia Virginia woodruff services and there’s been no regret ever since.
@Friedrich Luan ahahahahahaha you guys are everywhere are you actually a bot or real persons oO
@Fatmi Sami Obviously bots. I can smell them from the very first post in the thread.
@Alfonso JL yeah lol same
ZEV credits have been around for a decade and the OEMs did NOTHING. Shame on them. Why aren’t their investors enraged that they have to buy these credits from Tesla? Well, to be fair they did do something: crappy compliance cars nobody would buy, cheat on polution standards – dieselgate, spend millions to lobby politicians to gut EPA, increse fossil fuel subsidies ($5T ww), and get bailed out again, and again, and again (and never pay it back).
Well said. But GM does pay the media to praise them so they help keep the wheel greased! 🙂
TSLA was profitable without zev credits this quarter I dont know why the media doesnt understand accounting at all. They produced about 550 million of pre tax income about 350 million of that was zev credits, which get taxed as normal income. So you cant say they made 300 million net income and 350 million million was zev credits when that is taxed . Sad job by the media honestly. To recap yes tesla was profitable if zev credits were not there, its a non issue even if they were over the break even line because of the tax credits.
@Anthony Pelchat Tru dat. Also, stock based compensation is not a cash expense. It dilutes shares and therefore it’s counted in the GAAP profit, but it in no way affects the core business. In Tesla’s case (in my understanding) the difference between GAAP and Non-GAAP profit is only the SBC. Therefore Non-GAAP profit is much more relevant when evaluating the profitablity of Tesla.
@PedroGfin Exactly. Well put. This also affects PE Ratios, which people keep pulling up. Some fun numbers for you to use below.
People will keep whining about the PE being 1000, which is false. They are likely using Google, which hasn’t updated. The updated GAAP PE is 820. The NON-GAAP PE however is only 182. Compared to Amazon’s 101 and Tesla doesn’t look bad at all.
@Anthony Pelchat peoples logic- lets look on past quarters earnings to justify a GROWTH companies valuation. Realistically if they can just recognize fsd revenue within the next 12 months which should be easy asl its a <100 foward pe company
@Rob True. I understand where it’s going, but so many people can’t. People cannot see that Tesla is growing revenue by 35% during a pandemic. They cannot see that they are expected to be nearly double 2019’s revenue next year. And that doesn’t even count FSD. Craziness.
Remember this has nothing to do with profit and accounting. It’s the fact that Tesla isn’t sharing any of their profits with the main stream media that made them all gang up on Tesla. After Elon called them out for their corruption, they doubled down in their attacks. If they lost money but spent 350M in advertising for Q3, I bet you suddenly Tesla will get the GM treatment. But I really don’t mind all these attacks. It keeps the price low for me to invest. Let the stupid be missing out on investing in Tesla, fine by me.
Rev grew in q3 while regulatory credits shrink. Tesla can make money without the creds
And building 3 factories the size of city blocks in 3 continents and paying compensation to Musk and employees and they still making profits..regulatory money is just money on the table.. they can slow their growth but since its free money why not… seriously
There was a time when Amazon put profit aside and focus on growth, and wall street loved it. The only difference is that there were no big oil equivalent, like a big-shopping to fight Amazon PR tooth and nail.
Nailed it! The legacy OEMs could build incredible EV’s if they wanted to, but they are too reliant on their dealer and service models for revenue. It will take GM going bankrupt again for them to change directions. Ford is a dynasty, so they would rather die than change the way they do things.
They might be able to build one. Ie the new mach e. But they are not as efficient. No widespread charging network. Which easily accepts charging your vehicle by just plugging into the charger.
No proprietary software to run everything (just look at those diesel gate bums VW and the 10,000+software engineers they hired to sort out the Id.3 over a year ago now.
Even fomoco with the mach e had to create a separate division. Which functions like a start-up called it “team Edison”
The team is still together btw. So good job there Hackett. Do you know which vehicle they leased for the engineers to target against? yeah that was the tesla model 3. Yet the mach e cannot even compete on efficiency with a 2017 tesla. Let alone a 2021 model once it finally arrives here shortly.
batteries yeah good luck sorting those out in quantities. Given everyone is desperately trying to ramp up production. And is supply constrained for the foreseeable future.
Also the oems auto unions don’t want bevs. As they are much less labor intensive to make.
Look at all of the existing oems over head. And total debts. They are caught in a catch 22.
In 5-10 year’s without major mergings. Like FDA&pca combining to form stellantis group. None of the current players will be left.
For comparison Nissan just now made it’s 500,000 bev. Tesla is over 1.3 million total bevs produced. End of 2021 it will be well over 2.1+million. End of 2022 over 3.5million. And they have the capacity for production of over 3,000,000 just with existing and under construction factories.
Nevermind that they are so vertically Integrated. They control their destiny so to speak. By making their own seats(only 3 other major seat companies exist btw. Making their own motors, inverters. Making their own software (yes they own the software which runs their whole operation.
Make their own charging network. Make their own solar panels. Make their own proprietary self driving chips(which a former invidia analyst claims is comparable to a 2023 planned chip from invidia to oems. Yet feels has been running this chip since late 2019 in all of their vehicles.
@RC18 I agree with you on all of your points. Tesla, Rivian and probably Lucid are the future. The old model is dead, and the only way to survive and thrive is to make radical changes, which OEM’s are incapable of making.
Such a stupid guy. Just one example where he is wrong: Audi does sell a decent premium EV that sold better in 2020 than Model S and Model X combined. Why does he tell this stupid tale about VW only producing crappy EVs to still sell their ICE cars?
LOL what? Tesla sold 15k Model S/X THIS quarter, Audi sold 1983 E-trons and less than 6k EVS TOTAL this year.
Model 3 is the competing car and the one they tore down and bench marked against (Diess).
ETron does not compete in any metric to the Model 3.
The eGolf and similar ICE retrofit compliance cars VWG made are crappy cars – all now scrapped. VWG will not meet their CO2 quotas, even forcing their faulty ID3s on the market and will be paying China MG for credits. Fail.
Fellow Americans, look up Tony Bobulinski. BIG news story!
dumb…… these ratings are not suprising
“Continue to dither with their ICE” , haha, “Half-assed effort” made my day.
Teal is not an auto company like how traditional analysts tout them to be. Tesla is a technology company that does auto!
thats old news dude..If people by now dont get that logic..there’s no point in constantly repeating it.
1:40 I stopped my 9-5 with the help of, d a i l y w e b e a r n .c o m
I make enough for my family during the whole COVID pandemic
Tesla pops? Ya then fizzled. Meanwhile GM up on fake hummer. Did you see the video ? Trevor was pushing it from behind. Lol.. legacy car makers just trying to max profits before they go bye bye . They all realize how behind they are .
Zach/Yahoo Finance!!! Pro Tesla?? WOW! Not saying BS bearish comments about Telsa. Welcome!! Ross Gerber is the bomb! Smart, well-spoken, and honest.
where is Gali?
we are in the tesla launch stage
And the chief engineer of the hummer says they don’t even have a vehicle yet. That hummer was just a display model. NO working hummer vehicle. GM is doomed.
Tesla: Here’s a prototype, we built it, we figured how it works, please reserve our truck. By the way come ride the truck after the event.
Nikola & GM : Here’s a computer rendering of our truck. Reserve now with confidence!
THese is the One of the reasons i hate Trump
GM will sell thousands of EVs, maybe ten thousand… Tesla will sell millions (they have sold more than a million already). GM will be buying credits or not selling in Europe or California.
Ross Gerber is a fool, he’s Completely Wrong – Blockbuster Stores, Blackberry Phones, VHS Players, DVD players, CDs, Polaroid Cameras, Sony Walkmans and ICE Cars are all gonna turn things around, these are Products everyone wants especially young people – Tougue in Cheek News!
That freaking huge smile on the reporters face. Must be an Tesla investor😂 reading from script. 👀
Spot On!!!
That Yahoo background is a picture of my G-Wagen. Nice interview!
Gross margin 27% for auto. 2% of all revenue is ZEV credits, and it’s a nice offset to the CEO award of 209 mil of stock. So another way to look at it is, no ZEV credits, no big pay package. Imagine if all executives got paid with their rivals money?.
The ZEV credits are paying for Tesla’s giga-factories. In what world is this a stupid idea for Tesla?
Ross Gerber is smack on the money. I’ve been saying for the past 18 months that Ford and GM are finished. Ford bankruptcy by ’25, GM hangs on for a year or two more. The only disagreement with Ross’s analysis, and this is significant, is with Ross’s view of VW’s commitment to BEVs. In my well-researched opinion, VW is absolutely all-in on BEV development and VW is doing the absolute best with BEVs that it can at this moment. The fact that the ID.3 and ID.4 compares so poorly to Tesla says two things: VW is experiencing the same growth pains and learning curves that Tesla did to , and Tesla is absolutely killing it on technology and innovation as they slide into their BEV production inflection ramp-up point.
I predict that VW’s next BEV vehicles will be a better proposition….they kinda have to be.
I am SO! ready for the world to stop using gasoline in automobiles.
Better Tesla gets the ev Credit money than it go back to the government and they blow it on oil subsidies.
I hope these guys know by now that the Hummer EV hasn’t been made yet, not even a prototype… but SOLD OUT!?? Why launch something that you haven’t made. Well its 2020 after all. xD
Case and point…
Hey Zach, Nobody wanted an ICE HUMMER so GM stopped making them. They make an EV HUMMER and they sell out. Don’t be moronic. ICE is dead.
Sold out of how many though?
Everybody can get revenue credits, it’s not just Tesla. It’s a even playing field. Tesla gets paid because other companies have failed. Stop complaining and wake up.
Listening to Zach is like listening to a high school student interviewing CEOs
Oil rich jihaadi funding is going to dry out 🤣😂🤣😂🤣🔥🔥🔥🔥
all analysts are united how valueble the company tesla should now fly that stock so we can all make money here. Am I right? why is it still pushing its stock down so close that inflation is coming, that stock should fly now.
You should make a video of the current worth of your portfolio which must be alot Esp. with Tesla, I also came by an investor that made a profit of $350K within months and I’d really appreciate it you I can get clues and tips on how to make better profit.
Learn how to trade stocks.
Just do your research and devise a strategy or better still reach out to a professional for help
I’d say you get in touch with a mentor or broker for help, I reached out to Melanie Bailey Hess a lady broker I came across on an interview, and by basically following her guidelines, I was able to keep a consistent profit growth and made $280,000 since July till now.
@Rev. Pale Silas Most people actually gets in touch with a professional but they wouldn’t mention it
@Rev. Pale Silas I have actually come across this ellen broker before on a magazine, I google searched her and I’m definitely getting in touch with her, thanks for sharing.