Marc De Mesel: Why Invest in Tesla Today

  • Friday, 24 May 2019 12:40
Now that Tesla investors are no longer euphoric and $TSLA sees it's first serious correction from $400 to $200 since it launched on NASDAQ @ $20 in 2010, I am very happy to buy for 10-20% of my portfolio. Been looking for great investment outside crypto, that did not require me to follow up intensively. Believe stock market will do well another decade or 2. Was considering stock index fund and some gold (PP World) but returns are only 7%, after 5% inflation that is only 2% real return, can't call this an investment. That's a hedge, to keep purchasing power of your money intact. But I'm an investor, I want my money to work, innovating industries, challenging the status quo and making real money, and with $TSLA, under the leadership of Elon Musk, I am confident it will work hard, and multiply in customers made happy and value of it's stock. Sure market cap is already $35B, close to other car brands like VW (80B), BMW (50B) & Toyota (200B) while car production still a lot lower. However growth is much higher, profit margins much better, and they build in network effects with recharging stations. People spend a fortune on cars, much more than on computers, phones, software, apps, or advertising via google or facebook. With Tesla Silicon Valley is breaking out of the digital world, into the real world, therefore I believe Tesla has potential to become much bigger than Big Tech of today. I also feel Tesla is a relatively safe investment, even thou Elon may certainly have over leveraged, causing small chance for default if stock prices drop too low, but Big Tech with their 100's of billions of cash reserves would be very happy to buy it for pennies on the dollar anytime, bailing out shareholders of total loss in the process. This gives a 10% chance for a substantial loss of say 75% from current valuations, 90% chance for a 10x in only 5 years, and in 10-20 years potential is to become 10 times bigger than Apple, Google or Amazon, giving a potential 100x return. Check out my previous video on Elon Musk: https://www.youtube.com/watch?v=WeRm87ki25I My twitter for some interesting statistics on Tesla: https://twitter.com/marcdemesel/status/1131528288411836416 https://twitter.com/marcdemesel/status/1131605451219644418

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