There is no logical financial analysis where Tesla should be valued at its current valuation - nearly $600 billion. This is nearly four times the valuation of Toyota today.
Many assume Tesla will soon sell as many EVs as Toyota sells ICE models today - about ten million vehicles. While that level of future Tesla sales is not unreasonable, why would that scenario make Tesla 4X more valuable in the future than Toyota is today?
Let’s not forget, Tesla recently was valued at $1.2 trillion. I owned the stock at that level, but eventually recognized Tesla was massively overvalued. Many assume a wonderful growth company like Tesla, also cannot be overvalued. It can! And Tesla is!
Disclaimer
TaaSMaster, LLC is not a registered investment advisor or broker/dealer. All investment opinions expressed by TaaSMaster, LLC are from personal research and experience of the owner of the site and are intended as educational material. Although best efforts are made to ensure that all information is accurate and up to date, occasionally unintended errors may occur.