Tesla is probably the only EV maker with declining sales for the last two years. Quite a feat in a booming market, and remarkable considering that the stock already has a few orders of magnitude of growth priced in.
The people voting Afd et al. are NOT people buying EVs. The venn diagram of those groups is two circles.
Its not like this differs from the US. Neither white supremacists (the "alt right") nor mainstream republicans were buying his cars.
You should be open to the possibility that he isn't clueless, he might actually just be a racist authoritarian.
https://www.acea.auto/files/Press_release_car_registrations_...
The two most popular EVs in China are the Wuling Mini and the Geely Xingyuan. The first one costs $4500 for the base model, and the second one is $9800. And you can get a very decent EV for $15k with plenty of options.
In 2-3 years, these $5k and $10k cars will only get better, and they'll just slaughter all the competition in markets outside the US and Europe. Especially once used cars start appearing at a fraction of the cost.
Traditional auto manufacturers are dead. Full stop. They just haven't realized it yet. Tesla had a chance to compete in this market with Model 2 but Musk decided to blow their lead on a completely stillborn and gimmick-filled robotaxi.
Not sure whether you know, but Geely entered the automotive business in 1997 (founded in 1986).
The company has subsidiaries / joint ventures with automakers like Volvo, Polestar, Proton, Smart, Lotus, Renault, etc.
Lin Shufu, Geely’s founder and chairman bought just shy of 10% of Mercedes Benz in 2018, making him the second biggest individual shareholder in the German carmaker. The #1 spot is occupied by The Beijing Automotive Industry Holding Co. (BAIC), via its state-owned parent.
Even Toyota is slowly waking up, with a reasonable bZ3X SUV for $15k (China only).
The big dog is BYD though. Twice as many as 2nd place Tesla.
But it is stunning that legacy automakers are sticking to fossil fuels.
They also know that this means that the EU will push the target date for the end of fossi fuel cars.
"But it's high margin", sure it is, but so is Ferrari, and their P/E is 30-40.
Indeed. Global 2024 data shows Tesla selling about 1.8M. EV's only by that group of automakers comes to around 1.5M. Toyota and Ford are hybrid-first, not EV. VW is the only legacy automaker that comes near Tesla's EV scale. Mercedes prioritizes margin over volume. Rivian is capacity-limited.
This fully explains the market valuation, of course! Never mind a swarm of retail investors driven by a news media that covered Musk as if he were Tony Stark for years, this market cap is fully based on solid fundamental analysis of expected future revenue.