Tesla: Overvalued, But Pays For The Best Space Program On Earth

Guest post from John Wilder at Wilder Wealthy Wise.

“You guys taking it all in? Because this is what it looks like when Google acquires your company for over 200 million dollars. Look:  Dustin Moskovitz. Elon Musk. Eric Schmidt. I mean, Kid Rock is the poorest person here.” – Silicon Valley

I hear Elon Musk’s car insurance premiums are astronomical.

I’m a fan of Elon Musk.  Singlehandedly, he’s shown that even though getting to space is very, very hard, that he can do it.  Beyond that, when working with NASA®, they noted that working with SpaceX™ they accomplished in a month what would normally take NASA™ a year.  NASA® kept saying the work was too Falcon Heavy.

Musk has also proven that if you focus on getting things into space, you can do it.  NASA® gave up on getting things into space right after Von Braun died and is now a jobs program that hires gender and grievance studies majors.  I’m not kidding.  Really.

Instead of, oh, going into space, NASA© chases imaginary offensive names of astronomical features (NASA© corroborates this here – LINK).  From the press release:  “The Agency will be working with diversity, inclusion, and equity experts in the astronomical and physical sciences to provide guidance and recommendations for other nicknames and terms for review.”

If Elon Musk’s wife breaks up with him while he’s on Mars, will that make her his Space X?

Because that’s the important thing, right?  We don’t want people thinking of the Eskimo Nebula or Siamese Twins Nebula.  Because . . . colonialism?  I forget.  Is there a scorecard I could download?

One thing I’ve been fairly consistent about, though, is that Elon Musk’s car company, Tesla® is a scam.  Don’t get me wrong, it’s a great scam.  I’ve heard that the cars are wonderful.  And from a speed standpoint, the Tesla™ can go from 0-60mph (that’s 27.39 parsec per eon) nearly as fast as any car on the planet.

But the price of Tesla®, even after losing 25% of its value in the last few days, is ludicrous.  Tesla’s™ market cap is $307.7 billion dollars.  Volkswagen® is worth $77.5 billion, Toyota™ is worth $210.8, and Ford™ is worth $27.5 billion.  So, if Elon looked under his couch cushions for some spare change, he could trade Tesla™ for VW®, Toyota©, and Ford™.

But at least communism means always having enough to eat, right?

Is Tesla® a good company?  Sure.  But Tesla™ made 367,000 cars last year.  Ford©, Toyota® and VW™ combined made 27,000,000 cars.  That’s nearly 74 times the number of cars that Tesla® makes.

I think most people have invested in Tesla® because Elon Musk gets things done.  And, it amuses me that Elon Musk takes the money he’s earned from Tesla™ to work on arguably the best space program since Apollo, back when NASA™ had real engineers working on real engineering problems and done it in his spare time.

Tesla® is a symptom.

I hear that Coronavirus symptoms start right off the bat.

When money is flooded into a market by bankers looking to prop the market up, it flows oddly.  The faster the flow?  The bigger the imbalances.  When people are rushing to put money into the market, they look for the shiny objects.  One of the shiny objects in this case is Tesla®.  There are others.  Dozens of them.

It is my theory that the entire market is filled with imbalances right now.  The money that was flooding in to prop the market up is leaking everywhere.  Reasons don’t matter.  That’s the way that markets work over the short term.  Silly things happen – you’ve seen it earlier this year with toilet paper.  What I’m saying is that, yes, Tesla® is just like the toilet paper of the stock market.

The best way to steal a Tesla® is to put it on auto-pirate.

The Great Toilet Paper Shortage of 2020 was just that – markets working in a panic.  The world is ending, so what do I do?  Make sure that I can poop in comfort.  Like getting into a war with Italy as one of your allies, it’s not a great strategy, but is a strategy.  In mid-late 2020, the market is flooded with money, attempting to buy whatever looks best and prettiest.

Just like the TP 2020 Terror®, the Reinflation Bubble of 2020© isn’t at all rational.  And, like Tesla™ lost 25% of market value in a few days?  It’s my theory that will happen across the whole market.  Note – I’m not a financial advisor, so use the advice of a random guy on the Internet as just that.  I pulled my money from the market, mostly, in February.  After that, I’ve been spending my time collecting the three precious metals:  gold, silver, and lead.

As I get older, I’ve discovered a simple truth – I have no idea if my kids will enjoy getting shares of Tesla® when I die.  But I do know that if they each got a suitcase of untrackable gold and silver, half a dozen rifles and a few thousand rounds of ammo at my funeral, they’d smile.

My buddy Ty won a gold medal at the Beijing Olympics®.  China won’t give him the medal because they won’t recognize Ty won.

I know this column is short, but I stared at that last line for about an hour and wouldn’t change a word.  Not a bad place to end.  Let’s call it a day.  I know that NASA already has . . . .

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