The insane thing about TSLA’s valuation compared to either its profit or revenue, is that it’s based on the idea of it growing by a bigger margin than the market could possibly have room for, even if they did turn around their tired-out product lineup and managed to get everyone to stop hating them. People still seem to treat them like a plucky new startup in its fast growth phase, even though they’ve been around two decades already.
They made barely 0.2% of their market cap in profit in 2025. A 12 month US treasury bond pays 3.52%. TSLA could increase profits by over 1500% and still be worse than a treasury bond whilst also being higher risk.
Quick check on TSLA: complete admission to obvious fraud barely made a dent. It’s all priced in, apparently.
The insane thing about TSLA’s valuation compared to either its profit or revenue, is that it’s based on the idea of it growing by a bigger margin than the market could possibly have room for, even if they did turn around their tired-out product lineup and managed to get everyone to stop hating them. People still seem to treat them like a plucky new startup in its fast growth phase, even though they’ve been around two decades already.
They made barely 0.2% of their market cap in profit in 2025. A 12 month US treasury bond pays 3.52%. TSLA could increase profits by over 1500% and still be worse than a treasury bond whilst also being higher risk.