I know, you are tired of me talking about the company that
makes what I think are fancy golf carts. But it is an interesting story.
Back story: I last wrote about TSLA April 2, 2018, and
before that in 2014. The theme has been the same, it is grossly overpriced and
just because Elon Musk is an expert at getting government subsidies, it is
still not a good value.
WRONG! I may be right about the over value thing, but
completely wrong about the way the stock would move. Today, 1:00 EST, February
4, 2020, the stock is up 16.6% to $909. Yesterday, it was up 19.9%. Since
October it is up 200%+.
Market cap today is about $140 Billion. Compare that to
General Motors, a measly $48 Billion.
As I’ve said before, the markets are not necessarily
rational, especially when governed by emotion. I have brought up tulip bulbs
before. Here’s another one: Amazon increased in value in after-market trading
the other day by $100 Billion (yes, that much in after-hours trading) to top $1
Trillion in market cap. For perspective, United Parcel Service has a total
market cap of $87 Billion.
There ya go. That’s what makes a horse race, I guess.
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