TSLA Jan 2021 370.000 call

OPR - OPR Delayed price. Currency in USD
1,283.84
0.00 (0.00%)
As of 9:40AM EDT. Market open.
Stock chart is not supported by your current browser
Previous close1,283.84
Open1,283.84
Bid0.00
Ask0.00
Strike370.00
Expiry date2021-01-15
Day's range1,283.84 - 1,283.84
Contract rangeN/A
Volume1
Open interestN/A
  • Elon Musk Was Right: Tesla's Stock Price Is Too High
    Motley Fool

    Elon Musk Was Right: Tesla's Stock Price Is Too High

    Tesla has plenty of growth potential, but it is unlikely to achieve the lofty margins it would need to justify its sky-high valuation.

  • Demand for Tesla vehicles remained strong during pandemic, Musk says
    Reuters

    Demand for Tesla vehicles remained strong during pandemic, Musk says

    Musk, talking to Automotive News' Daily Drive podcast, said having a traditional dealer network - something he considered in the past - appears increasingly unnecessary. "We saw strong orders through the whole pandemic, we still had a good order volume," Musk said. Asked about a 2020 meteoric stock rally that has pushed Tesla shares up more than 240% from the start of the year and made the company the world's most highly-valued carmaker, Musk said the market would eventually sort itself out.

  • 3 Stocks I'd Avoid Right Now
    Motley Fool

    3 Stocks I'd Avoid Right Now

    If a stock has been going up, up, up, lots of investors jump on board right away, expecting a big payday as the share price continues to climb. Likewise, if a stock has crashed, lots of investors will jump on board right away, expecting a big payday as the share price recovers. Three stocks that have made big moves recently include Transocean (NYSE: RIG), General Electric (NYSE: GE), and Tesla (NASDAQ: TSLA).

  • Europe Is Building the Next Tesla. Who Knew?
    Bloomberg

    Europe Is Building the Next Tesla. Who Knew?

    (Bloomberg Opinion) -- When Nikola Corp. started trading on Nasdaq in June, the Phoenix-based clean transportation company raced quickly to a valuation of almost $30 billion.Its market worth has since fallen to a more reasonable $10.5 billion, but that’s still pretty spicy for a business yet to generate any revenue. Its most promising products are its heavy trucks, powered by electric batteries or hydrogen fuel cells.The rise of Nikola (whose name, cheekily, is another evocation of electrical engineer Nikola Tesla) will have reinforced a view among European auto industry executives that the U.S. stock market operates by different rules. While Tesla Inc. is only modestly profitable, it’s valued at about $275 billion, more than Europe’s five largest carmakers combined.At least Europe has a stake in the latest heavily hyped project. Founded by Trevor Milton, a 38-year-old American college dropout, Nikola is relying heavily on expertise from the old continent. Robert Bosch Gmbh, a German automotive supplier, has helped develop the U.S. company’s electric powertrain, and the first Nikola trucks will be built in a German factory belonging to Italy’s Iveco, a truck maker backed by the billionaire Agnelli family. Bosch and Iveco each own more than 6% of Nikola. CNH Industrial NV, Iveco’s parent, just recorded a $1.5 billion fair value gain on that investment.(1) The biggest question is whether a start-up dependent on so much external help should have a whizzy valuation like Tesla, which builds much of its technology itself. And if Europe has this expertise, why hasn’t it produced its own rival to Elon Musk’s carmaker?Maybe it’s a lack of chutzpah. Nikola’s name isn’t the only reason it’s often compared with Tesla. Milton’s hyperactive Twitter presence makes Musk look tame by comparison. Both men’s ambitions extend beyond selling zero-emission vehicles to producing and storing clean energy. While Nikola is focused on heavy-duty trucks, it has touted a variety of consumer products including a pickup called the Badger. These are catnip for retail investors, as the excitement over Musk’s Cybertruck demonstrates.While Tesla and Nikola are both working on electric heavy trucks, they differ in at least two important respects. The first is hydrogen: Musk is dismissive, while Milton thinks hydrogen is the perfect fuel for long truck journeys. The second is their attitude toward building stuff in-house. True, in its early days Tesla worked with Lotus to help make the Roadster, and Daimler AG helped develop the Model S saloon. Tesla partners with Panasonic to produce battery cells. But Musk is famous for trying to build his own technology, from electric powertrains and automated-driving software to car seats.Nikola developed its own software, infotainment and battery management-system, as well as vehicle aerodynamics, according to Cowen analyst Jeffrey Osborne. It has outsourced or used hired help to do much of the other stuff. More than 200 Bosch employees were involved in building important parts of Nikola’s trucks, including the electric motor for the axle, the vehicle-control unit, the battery and the hydrogen fuel cell. The result is a mix of intellectual property owned either separately or jointly by Nikola and its suppliers. There’s no doubt, however, who has the deeper expertise. So far Nikola has been awarded 11 U.S. patents, about 1% of the total Bosch is awarded in a typical year. “Bosch gets paid to help us get to industry standards on products,” Milton told me.Getting partners to provide the technological building blocks has some advantages. Nikola has only 300 employees and yet its first trucks should start rolling off the production line soon. Working with partners cuts the risk of the manufacturing delays and quality problems that plagued Tesla.It’s an efficient use of capital too. Nikola’s research and development expenses were just $68 million last year. Tesla spent $1.3 billion. After going public, Nikola has about $900 million of cash, although that won’t go far in the automotive business. For the North American market, Nikola plans to handle its own manufacturing, with technical assistance from Iveco. Nikola broke ground this week on a $600 million factory in Arizona.Whether or not you believe the extensive involvement of outside partners should have a bearing on its lofty valuation, there are other things that could upset Nikola’s plans. Building a refueling network is a central part of its business model, but this won’t come cheap at $17 million for each hydrogen station. The company is also entering a competitive field populated by more experienced and better capitalized rivals. Daimler’s Mercedes-Benz failed to follow through on its early experiments with electric cars and let Tesla roar past. It probably won’t make the same mistake with trucks.Daimler is the world’s largest truck maker and it plans to start production of its electric eActros and eCascadia models next year. The German giant has also formed a joint venture with Sweden’s Volvo AB to develop hydrogen fuel cell systems for heavy vehicles. That venture is valued by the companies at just 1.2 billion euros ($1.4 billion), putting the Nikola valuation into perspective.    Even if its share price looks overblown, Nikola’s improbable rise shows there’s investor demand for clean transportation companies that don’t still have one foot planted in the combustion-engine past. European manufacturers have the technical chops but they must find better ways to capitalize on investor excitement through new business models or spinoffs. Otherwise someone else will.(1) This was measured on June 30 when Nikola's stock was much higherThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Reuters

    Tesla battery supplier LG Chem shares jump 10% on upbeat outlook

    LG Chem <051910.KS>, an electric vehicle battery supplier for Tesla <TSLA.O>, Volkswagen <VOWG_p.DE> and others, said on Friday it expects profitability in its battery business to rise in the second half, helping shares surge nearly 10%. "Sales are expected to grow and profitability is expected to remain robust thanks to greater EV shipments for European automakers and increased sales for cylindrical EV batteries," LG Chem said. The company did not mention Tesla, but it supplies small cylindrical-type batteries for the carmaker's China models.

  • Panasonic boosts energy density, trims cobalt in new 2170 battery cell for Tesla
    TechCrunch

    Panasonic boosts energy density, trims cobalt in new 2170 battery cell for Tesla

    Panasonic has developed new battery technology for the "2170" lithium-ion cells it produces and supplies to Tesla, a change that improves energy density by 5% and reduces costly cobalt content. The new, higher energy dense 2170 cells will be produced by Panasonic at Tesla's factory in Sparks, Nevada, the company said Thursday. Panasonic is upgrading its battery cell lines with production slated to begin in September.

  • Intel Emerges as Symbol of Big Tech’s Decline
    Bloomberg

    Intel Emerges as Symbol of Big Tech’s Decline

    (Bloomberg Opinion) -- As if to symbolize U.S. decline, a giant of American industry is being overtaken by foreign rivals. Intel Corp., the company that once marked U.S. dominance of the semiconductor industry, has announced that the introduction of its new flagship series of computer chips, 7nm CPUs, will be a year behind schedule. This is after its previous generation of chips, 10nm CPUs, took much longer than expected.Intel, unlike many semiconductor companies, designs and fabricates its own chips. On the design front, it’s being overtaken by domestic rivals and U.K.-based ARM Ltd., which recently snatched Apple Inc.’s business away from Intel. On the fabrication side, Intel is losing ground to Taiwan’s TSMC, which specializes in manufacturing chips for other companies and which has had little trouble making its own new generations of chips on time. TSMC now has a higher market value of the two companies:Intel’s failures probably come as a result of various factors that are specific to the company itself. Some observers say that by insisting on vertical integration, Intel missed out on the opportunity to learn from the innovations generated by other companies (it’s now working on switching to a less integrated model). Its focus on its existing high-end markets caused it to stumble in newer markets for cheaper chips -- a classic case of the so-called innovator’s dilemma. It also made some bad decisions about fabrication technologies, and it suffered from various personnel issues at the top.Some, however, will probably see Intel’s stumbles as a sign that the U.S. isn’t doing enough to back  the semiconductor industry. That will intensify calls for the government to step in and support the ailing giant. Already, lawmakers are considering a $25 billion subsidy program for chip manufacturers, ostensibly to compete with China, which heavily underwrites its own companies. Intel, already one of the biggest recipients of government subsides, and whose chief executive officer has lobbied for the new bill, would undoubtedly reap a significant portion of the windfall.Indeed, there are some good reasons for the U.S. government to boost the chip industry. National defense is one. Computer chips are essential to modern warfare, and it’s too risky to let China have a stranglehold on high-level control circuitry. Taiwan is a de facto U.S. ally, but if it gets blockaded in a conflict with China, the U.S. could be cut off from TSMC’s factories and lose access to critical chip supplies at the worst possible moment.Industrial clustering is a second reason to want a domestic semiconductor industry. Chipmakers, like all high-tech companies, employ lots of skilled workers; having those workers in the U.S. creates a deep pool of talent and ideas that other companies located nearby can take advantage of, encouraging other tech industries to locate in the country as well.But there are more efficient ways to accomplish those goals than to throw money at one big, dominant company. Intel has been spending tens of billions of dollars on stock buybacks in recent years, halting only recently during the coronavirus pandemic. Buybacks, like dividends, are a way of returning cash to investors; basic corporate finance theory says that companies do this when they have more cash than they know how to invest productively. Thus, throwing government money at an existing champion such as Intel is likely to fatten shareholders’ pockets wallets rather than galvanize a wave of world-beating new investments.Instead, the government can pursue semiconductor dominance in more effective ways. The first is to encourage TSMC to put chip plants in the U.S., reducing the risk of Taiwan being isolated in a conflict. This already is beginning, and the Taiwanese chipmaker is planning a $12 billion facility in Arizona.Second, the U.S. can help encourage new chip manufacturers to get better at competing with Intel. An analogy is the auto industry, where the most cutting-edge innovation in recent years has come not from established -- and heavily subsidized -- giants such as Ford Motor Co. and General Motors, but from upstart innovator Tesla Inc., a beneficiary of tax breaks for clean-energy vehicles and which is now worth more than both older companies combined. In addition to encouraging innovation, new companies provide diversification, so that an industry doesn’t pin all its hopes in one or two big established players. And adding more companies fosters healthy competition as well.The U.S. needs more dynamic new companies of the Tesla variety. But as Andy Grove, one of Intel’s founders, warned in 2010, it can be difficult for smaller U.S. companies to scale up to compete with giant foreign rivals; it’s difficult for modern upstarts to do what Intel managed to do. Although capital is cheap on paper, the U.S. financial system isn’t set up to dish out the large sums of cheap money that young manufacturing companies need to scale up to Intel-like size; even Tesla has skirted the edge of bankruptcy multiple times. GlobalFoundries, a U.S. company whose business model is similar to that of TSMC, has been unable to bear the research and development costs necessary to stay at the leading edge.This could be addressed with a version of Grove’s suggestion for a government-led scaling bank, which would provide cheap financing for young companies to grow and reach the technological frontier. Instead of unconditional cash subsidies, these loans would be contingent on investment and growth. And they would be temporary in nature; whether a company succeeded in becoming a new high-tech giant, its access to the spigot of cheap financing would be finite. Industrial policy is sometimes necessary, but it’s a tricky thing to get right. By helping upstart high-tech manufacturing companies scale up, the U.S. might be able to support strategic industries while retaining the benefits of market competition.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Noah Smith is a Bloomberg Opinion columnist. He was an assistant professor of finance at Stony Brook University, and he blogs at Noahpinion.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Exclusive: Panasonic aims to boost energy density in Tesla batteries by 20%, executive says
    Reuters

    Exclusive: Panasonic aims to boost energy density in Tesla batteries by 20%, executive says

    Panasonic Corp <6752.T> plans to boost the energy density of "2170" battery cells it supplies to Tesla Inc <TSLA.O> by 20% in five years and commercialize a cobalt-free version "in two to three years", the head of its U.S. EV battery business said. This is the first time Panasonic, a leading cell provider for the world's top electric vehicle (EV) maker Tesla, has outlined these targets, putting down a marker in a highly competitive sector to stay ahead of the game. Panasonic introduced the "2170" lithium-ion cells, with the nickel-cobalt-aluminium (NCA) cathode chemistry, for Tesla's Model 3 in 2017.

  • Exclusive: Panasonic aims to boost energy density in Tesla batteries by 20% - executive
    Reuters

    Exclusive: Panasonic aims to boost energy density in Tesla batteries by 20% - executive

    Panasonic Corp <6752.T> plans to boost the energy density of "2170" battery cells it supplies to Tesla Inc <TSLA.O> by 20% in five years and commercialize a cobalt-free version "in two to three years", the head of its U.S. EV battery business said. This is the first time Panasonic, a leading cell provider for the world's top electric vehicle (EV) maker Tesla, has outlined these targets, putting down a marker in a highly competitive sector to stay ahead of the game. Panasonic introduced the "2170" lithium-ion cells, with the nickel-cobalt-aluminium (NCA) cathode chemistry, for Tesla's Model 3 in 2017.

  • Test a Tesla or Buy a Bolt With Help From Your Electric Company
    Bloomberg

    Test a Tesla or Buy a Bolt With Help From Your Electric Company

    (Bloomberg) -- Power companies are loaning out Teslas in Washington, electrifying bus fleets in Virginia and lobbying for electric vehicle tax credits on Capitol Hill.San Diego Gas & Electric Co. even went so far as to help train salespeople on how to convince consumers to buy electric cars and then paid them as much as $500 per sale. It’s all part of a $1.5 billion effort by utilities such as Exelon Corp. and Dominion Energy Inc. to promote vehicles that run on electricity.The companies see it not just as a chance to sell more power, but to balance electricity demand and meet sustainability goals, said Max Baumhefner, a senior attorney with the Natural Resources Defense Council.“The grid is built for the one hour of the year when electricity demand peaks,” Baumhefner said. Pushing energy consumption to after hours, when many drivers charge their cars at home, helps smooth out the swings in usage and could even reduce power costs for everyone, he said.But some aspects of the industry’s campaign -- such as lobbying for tax credits or against President Donald Trump’s rollback of efficiency standards -- put the companies at odds with powerful oil interests. Half of U.S. oil demand is for gasoline.Electric and plug-in hybrid vehicles are a threat to that, even if they currently account for about 1.4 million, or 0.7%, of the vehicles on U.S. roads. Within five years, BloombergNEF predicts they will represent as many as 7% of U.S. car sales due to declining battery costs and a growing number of options.That’s a promising figure for utilities, which have seen electricity demand flatten as household appliances become more efficient. According to BloombergNEF projections, 10% of electric demand will come from electric vehicles by 2040.Electric Vehicles Set for Rapid Growth, Defying Recession: ChartYet some motorists still have qualms.“When we did focus groups, customers were telling us, ‘We have apprehension. We’re uneasy,’ whether it’s range anxiety or the upkeep,” said Calvin Butler, the chief executive of Exelon Utilities.That’s led to some extraordinary efforts on the part of the electric companies to put consumers at ease, such as San Diego Gas & Electric’s collaboration with pro-EV PlugStar to train showroom salespeople.“Who better to sell somebody on an EV than the salesperson?” said Estela de Llanos, San Diego Gas & Electric’s chief environmental officer.“By incentivizing some of these dealer employees, we like to think we planted the seed for more of that to happen,” de Llanos said.An Exelon startup called EZ-EV has helped motorists take test drives, calculate mileage needs and winnow down options -- then score discounts at local dealerships. And motorists who sign up for a monthly car subscription with Exelon’s Steer can shift between electric models, from a Tesla Model X to a Porsche Cayenne.Utilities also have asked state regulators to approve more than 80 plans for advancing electric vehicles and charging infrastructure, according to Atlas EV Hub, which tracks the efforts. The bulk of the programs - some 78% of the requested initiatives -- have won approval, said Nick Nigro, founder of Atlas Public Policy.But the proposals are meeting steep resistance from the oil industry, in some cases joined by the Koch-backed Americans for Prosperity and large power consumers wary of higher costs. With about half of U.S. oil demand today tied to gasoline, the sector is fighting electric vehicles on all fronts, from statehouses and state regulatory commissions to Capitol Hill.In Congress, oil and utility interests have squared off over efforts to expand a $7,500 tax credit for electric vehicles. The utility industry’s leading trade group, the Edison Electric Institute, has lobbied alongside automakers Tesla Inc. and General Motors Co. to expand the tax credit, while oil interests argue climbing sales and the surge in Tesla’s value show subsidies are no longer needed to jump-start a new industry.Refiners and their trade associations “have waged a state-by-state campaign” to block utility investments in electric vehicle infrastructure, the Edison Electric Institute said in a May court filing. They are using “all available tools in all available forums to attempt to slow or stop the general move toward electric and other clean energy transportation, which they view as an existential threat.”National GridLast October, Massachusetts regulators turned back much of National Grid Plc’s $167 million plan to install thousands of charging stations at parking lots, government offices, apartment buildings and other spots, after the American Petroleum Institute, gas station chain Cumberland Farms Inc. and fuel supplier Global Partners LP blasted the initiative.And in Minnesota, a coalition including Marathon Petroleum Corp., and Koch Industries Inc. refining company Flint Hills Resources Pine Bend have mounted a legal challenge to Xcel Energy Inc.’s $25 million electric vehicle plan.Oil industry interests also lobbied states to impose annual fees on electric vehicle users they argue are needed to ensure electric car drivers who don’t pay gas taxes help fund roads and bridges.“It’s fundamentally unfair to take the monopoly power that the utility has and charge everybody higher rates to build out infrastructure that 2% of today’s purchasers use,” said Derrick Morgan, senior vice president of the American Fuel and Petrochemical Manufacturers. “It’s a very big gamble with other people’s money.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • The Latest Electric Car Hurdle: What if You Can’t Resell It?
    Bloomberg

    The Latest Electric Car Hurdle: What if You Can’t Resell It?

    (Bloomberg Opinion) -- Would you still buy an electric car if you knew you wouldn’t be able to resell it in the future? That’s the latest hurdle potential buyers are contending with, and it’s bound to become a big driver of demand.  The expenses of owning an electric vehicle have always stood in the way of mass adoption, even in China, which has an extensive subsidy program. Starting from the cost of the battery to how far a charge will take drivers, not to mention the shortage of points where they can plug in, there’s a lot to grapple with before green cars can overtake those powered by internal combustion engines.Much of the anxiety stems from batteries – the price, technology, density, and where to charge them. Manufacturers have worked for years to bring down the price on a per kilowatt-hour basis. Technology has improved, with different materials helping cars run longer and further, thus needing less charge. The chemistry has become more stable. In May, for instance, Svolt Energy Technology Co., owned by the parent of China’s Great Wall Motor Co., launched the world’s first battery that doesn’t use the controversial yet once-essential cobalt. It costs less than the mainstream competition and has higher density, meaning more energy is packed into the same volume.  So the good news is, battery prices are dropping, down to 1.1 yuan ($0.13) per watt-hour in 2019 from 2.1 yuan per watt-hour in 2016. That also means that the cost of electric vehicles is coming down (though the good ones still aren’t that affordable), since batteries typically account for 50% to 60% of their value.But therein lies the trap: As the technology evolves and drives prices of new vehicles lower, existing owners are taking a disproportionate beating in the secondhand market. The average resale value of electric vehicles and plug-in hybrids is less than 40% of the original purchase price, versus 50% to 70% on conventional cars. Goldman Sachs Group Inc. analysts note that consumer concerns about the quality and reliability of “old batteries appear to weigh on used cars’ prices.” That doesn’t really help make the case for current new buyers, either.Then there are underlying demand trends. Sales of all cars were falling even before Covid-19. The market for batteries has been inching lower across the U.S., China and Europe. Installations fell around 30% in June from the previous year in the world’s largest auto market, China. Driven by regulatory pressures, vehicle manufacturers are tying up with and taking big stakes in battery makers to push forward ways to make greener cars. But confidence to buy them hasn’t picked up in most countries, despite subsidies in some shape or form to encourage sales. Meanwhile, the auto market in China is maturing and that has changed preferences, too. Post-pandemic, the last thing consumers will want to buy is an asset that depreciates faster and is more expensive than its main competition, in this case, cars with internal combustion engines. Buying behavior in China shows as much: Purchases are being delayed until automakers drop their prices for electric cars below 300,000 yuan to qualify for the government’s rebate program.It’s unclear whether Beijing can shore up vehicle demand via subsidies in a big way as it has in the past, though some local authorities have extended rebates and tax incentives to boost short-term sales in recent months. The central government is trying a different tack, announcing a Green Mobility Initiative to push for electric buses in public infrastructure. Growth in batteries has been driven less by passenger cars than by installation in buses. In the Covid-19 era, it’s less clear if consumers (those with a choice) will want to hop on public buses to commute.There is, of course, the Tesla Inc. caveat. Elon Musk’s company has a resale program that gives buyers a bit of assurance that someone will buy their cars in the future. But most companies can’t afford that, especially as they try to make electric vehicles more affordable while their margins are shrinking.Buying an electric car is a lot tougher than it sounds, and will stay that way until consumers can justify the hole in their wallets. This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Anjani Trivedi is a Bloomberg Opinion columnist covering industrial companies in Asia. She previously worked for the Wall Street Journal. For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • PG&E Teams Up With Tesla to Build a Giant Battery Storage System for California
    Motley Fool

    PG&E Teams Up With Tesla to Build a Giant Battery Storage System for California

    Today, the company most famous for building electric cars, but that's also getting increasingly famous for building big batteries (for utility-scale storage of electricity), announced its latest project. In cooperation with California electric utility Pacific Gas and Electric Company (NYSE: PCG), Tesla will build a 182.5 megawatt (MW) lithium-ion battery energy storage system at the PG&E substation in Moss Landing, Monterey County, Calif. Tesla's battery warehouse project in Australia, smaller than the one being built for PG&E. Image source: Tesla.

  • The Hummer EV is shaping up to be GM's electric answer to the Ford Bronco and Tesla Cybertruck
    TechCrunch

    The Hummer EV is shaping up to be GM's electric answer to the Ford Bronco and Tesla Cybertruck

    The video below contains the first glimpse at the upcoming electric GMC Hummer. It’s clear GM identified two main competitors against the upcoming Hummer: The Ford Bronco and Tesla Cybertruck. The Hummer EV was announced pre-COVID 19 during the Super Bowl.

  • Tesla is now bigger than BP, GSK, and Lloyds Bank combined. Should UK investors buy TSLA shares today?
    Fool.co.uk

    Tesla is now bigger than BP, GSK, and Lloyds Bank combined. Should UK investors buy TSLA shares today?

    Tesla's (TSLA) share price is up more than 500% over the last year. Clearly, investors are excited about the future. Is now the time to buy? The post Tesla is now bigger than BP, GSK, and Lloyds Bank combined. Should UK investors buy TSLA shares today? appeared first on The Motley Fool UK.

  • Elon Musk says Tesla is open to licensing Autopilot, supplying powertrains and batteries to other automakers
    TechCrunch

    Elon Musk says Tesla is open to licensing Autopilot, supplying powertrains and batteries to other automakers

    Tesla CEO Elon Musk noted on Twitter on Tuesday night that the automaker would be "open to licensing software and supplying powertrains & batteries" to other automakers. Musk added that that would even include Autopilot, the advanced driver assistance software that Tesla offers to provide intelligent cruise control in a number of different driving scenarios. Musk was addressing a Teslarati article about how German automakers are looking to close the technology gap between themselves and Tesla when it comes to producing EVs.

  • China now accounts for nearly one-quarter of Tesla revenue
    TechCrunch

    China now accounts for nearly one-quarter of Tesla revenue

    Tesla has been counting on China to maintain its sales momentum, and it seems to be on track with the plan. In the three months ended June 30, the automaker's revenue in China climbed 102.9% year-over-year to $1.4 billion, according to its latest SEC filing. To increase affordability for Chinese consumers, Tesla inked a 50-year lease from the Shanghai government to build a Gigafactory there, which keeps production costs down and allows it to reap local tax benefits and avoid tariffs.

  • Tesla's Musk says open to supplying batteries to other automakers
    Reuters

    Tesla's Musk says open to supplying batteries to other automakers

    Tesla Inc Chief Executive Officer Elon Musk said on Tuesday that the company is open to licensing software and supplying powertrains and batteries. Tesla has previously supplied batteries to Mercedes and Toyota Motor under separate partnership deals. Battery manufacturing is an area that analysts and industry officials say the U.S. electric car maker has a competitive edge compared with legacy automakers.

  • South Korea launches safety probe into Tesla vehicles
    Reuters

    South Korea launches safety probe into Tesla vehicles

    South Korea said it is investigating suspected safety issues with vehicles made by U.S. automaker Tesla Inc, which is competing strongly with Hyundai Motor Co in the South Korean electric vehicle market. Braking and steering systems including the Autopilot function were part of the investigation, a transport ministry official said on Wednesday. The ministry declined to elaborate but South Korean media said Tesla's Model 3 was under investigation, and the probe might take anywhere from six months to a year.

  • Founder Hits Jackpot Thanks to China’s Love of Stock Trading
    Bloomberg

    Founder Hits Jackpot Thanks to China’s Love of Stock Trading

    (Bloomberg) -- When the coronavirus put a halt on people’s lives in China in February, Justin Jin’s old university classmates thought about selling face masks to make money. The 21-year-old suggested they instead try their luck with two stocks: Tesla Inc. and Tencent Holdings Ltd.That’s when Jin’s two friends began using the Futubull app, one of the Chinese platforms that allow mainland investors to buy foreign equities. The decision paid off. Both stocks soared as part of a global rally that has enticed a wave of novice investors.“When I first started, there were only three or four friends who used Futu,” Jin said. “Now there are at least three or four dozen.”Thanks to them and many others, Futu Holdings Ltd., a Chinese online brokerage and wealth-management platform, now counts more than 1 million registered users, a 23% increase from the first quarter. Its American depositary receipts have almost quadrupled since a low in March, propelling the fortune of its founder and chairman, Leaf Hua Li, to $1.5 billion, according to the Bloomberg Billionaires Index.Tencent EmployeeLi, 43, was Tencent’s 18th founding employee and left to start Futu after growing frustrated with the software he used to trade Hong Kong stocks, according to a CapitalWatch interview in January. The online broker, backed by the Chinese internet giant, was formally incorporated under Hong Kong law in April 2012. Li owns 40% of its outstanding shares.A company spokesman declined to comment on Li’s net worth.Retail investors have always been a driving force in China’s stock market, but with the pandemic keeping people home, more amateur traders have emerged. Futu reported a 60% surge in new paying clients -- those with assets in their trading accounts -- in the first quarter, with much of it coming from Hong Kong. Big-name stocks like Tencent, Tesla and Alibaba Group Holding Ltd. fueled the surge during the peak of China’s coronavirus crisis in February, according to a statement.One of Futu’s main draws is that, unlike mainland competitors, it has licenses that allow users to go beyond the domestic market and buy equities from the U.S. and Hong Kong. This year’s high-profile secondary listings in the city from JD.com Inc. and NetEase Inc. have enticed more investors, as has the months-long rebound in U.S. stocks, according to Bank of China International analyst Nanyang He.“Futu has benefited from strong market sentiments in terms of raising trading velocity and increasing IPO subscription revenue,” He said.Shares SurgeFutu shares have risen 148% since the company listed in New York in March 2019, outpacing rival Up Fintech Holding Ltd., which went public the same month.While the competition is rife -- Chinese brokerage firm Huatai Securities Co. just launched its own U.S. stock-trading app -- Futu is betting on the increasing number of Chinese citizens looking to diversify their investments globally, He said. The company started a series of MSCI index futures products this month.Li began his career at Tencent after receiving a bachelor’s degree in computer science and technology from Hunan University in 2000. He was an early researcher of the QQ messaging software and founded Tencent Video, now one of the largest video-streaming platforms in China.Li credits his time at Tencent for building his business acumen and said he was inspired by the company’s founders, Pony Ma and Zhang Zhidong, according to the CapitalWatch interview. Tencent remains Futu’s largest institutional backer, and several of its employees were key in helping the online broker grow over the past decade.Still, Li hopes he’ll ultimately be defined by his legacy at Futu.“For a long time, people wondered why I left Tencent at its peak of growth,” Li said in the interview. “Now that Futu has made it, the weight of importance has changed.”(Updates share move since IPO in 10th paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • The 400% Tesla Rally Was Only The Beginning Of The EV Boom
    Oilprice.com

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  • Nasdaq Today: Tesla Gets a Downgrade; Walgreens CEO Steps Down
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  • 'Tesla's current valuation is mind-boggling': Bernstein analyst
    Yahoo Finance

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  • Tesla’s Musk Is Weeks Away From Next Multibillion-Dollar Payout
    Bloomberg

    Tesla’s Musk Is Weeks Away From Next Multibillion-Dollar Payout

    (Bloomberg) -- Tesla Inc.’s surging stock price has already let Chief Executive Officer Elon Musk collect two tranches of his moonshot compensation award, valued at a collective $3.94 billion.Now he’s at most a couple of months away from securing the third, according to the company’s own estimates, lining him up for yet another multibillion-dollar payout.Barring a prolonged drop in share price, the company’s average trailing market capitalization over six months is poised to exceed $200 billion sometime in the third quarter, the electric-car maker said Tuesday in a filing. That will unlock 1.69 million stock options for Musk, worth roughly $2 billion.Another performance criteria triggering the payout -- $3 billion in adjusted earnings before interest, taxes, depreciation and amortization, accumulated over four consecutive quarters -- has already been met, according to the filing.Tesla’s shares have more than tripled this year, making it the world’s most valuable automaker despite producing only a fraction of the vehicles that its rivals churn out. Last week, the company posted a fourth-straight quarterly profit, possibly paving the way for it to join the S&P 500 Index.Read more: Tesla growth is Musk’s goal after profit opens path to S&PMusk’s compensation package -- the largest corporate pay deal ever struck between a CEO and a board of directors -- includes 20.3 million options, split into 12 tranches, that could yield the founder more than $50 billion if all goals are met, according to Tesla’s estimates.Musk, 49, is already among the world’s richest people with a $72.3 billion fortune, according to the Bloomberg Billionaires Index.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • 3 High-Growth Stocks Robinhood Investors Are Buying Hand Over Fist
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  • Tesla Shares Sag as Analyst Flags ‘Mind-Boggling’ Valuation
    Bloomberg

    Tesla Shares Sag as Analyst Flags ‘Mind-Boggling’ Valuation

    (Bloomberg) -- The rally that made Tesla Inc. bigger than Toyota and Volkswagen better befits a technology company than a carmaker, and buying the stock now is probably a mistake for anyone but day traders, an analyst said while cutting his rating on the shares.Risks to the valuation include the possibility new Tesla models will cannibalize sales of older ones, and rising competition in the electric vehicle market in general, wrote Sanford C. Bernstein analyst Toni Sacconaghi. While Elon Musk’s company has recently executed well on its strategy, the stock’s 481% gain in the past year likely reflects more good news than is forthcoming, he said in a note to clients.“Let us be clear: this is a valuation call,” Sacconaghi wrote, calling the market value “mind-boggling.” He lowered his rating to the equivalent of a sell from a hold and maintained his price target of $900, representing a 42% discount to Monday’s close. The shares fell as much as 4% to $1,477.60 on Tuesday.Sacconaghi’s downgrade follows an advance that pushed the company’s valuation over $300 billion at one point amid investor optimism about strong second-quarter results, possible inclusion into the S&P 500 Index and anticipation of new battery technology.The analyst noted, however, that trying to predict Tesla’s stock direction in the near term could be a “fool’s game.”“Expectations appear achievable/beatable, the forthcoming Battery Day could be noteworthy, and there is strong price momentum in both Tesla and among growth stocks more broadly,” the analyst said.Sacconaghi said he would change his mind if Tesla ultimately demonstrates unique progress in autonomous driving or other software, leading to high margins over time.The current valuation has led some investors to start valuing Tesla as if it were a technology stock. Sacconaghi noted its market value is now bigger than Toyota and Volkswagen combined. The two collectively make 20 million cars every year, compared to Tesla’s expected 500,000 cars this year.Separately, Tesla said in a regulatory filing early Tuesday that it has cleared out its balance of deferred revenue related to sales of regulatory credits to other automakers. Without the sale of credits to carmakers that are out of compliance with emissions rules, Tesla wouldn’t have earned a profit last quarter.Chief Financial Officer Zachary Kirkhorn said last week that while Tesla expects regulatory credit revenue to roughly double this year, it assumes those sales won’t make a significant contribution to the business in the future. Deferred revenue went to zero as of June 30, from $140 million at the end of the first quarter.(Adds details, updates stock move)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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