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Though Tesla Motors (TSLA -9.2%) CEO Elon Musk is taking the hardest loss today on the...

Though Tesla Motors (TSLA -9.2%) CEO Elon Musk is taking the hardest loss today on the automaker's tumble in share price, Daimler (DDAIF.PK) is also suffering with its 4.7% stake in TSLA making it number two on the list while Toyota (TM -1.1%) also has a stake. Interestingly, Musk says he won't ask the big boys for more money but will fund Model X SUV production through profits. Look for issues of Tesla cash flow to be a major topic in 2013. (transcript)
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Comments (11)
  • GaltMachine
    , contributor
    Comments (1146) | Send Message
     
    Just looked at the current quarter income statement. How exactly does he define the word "profit"?

     

    Looks like a $100 million dollar burn rate based upon the cash flow unless I am reading it wrong.

     

    http://bit.ly/YIUfmH
    21 Feb 2013, 10:57 AM Reply Like
  • JackB125
    , contributor
    , TSLA PRO Alerts subscriber
    Comments (313) | Send Message
     
    That was the 4Q burn rate during ramp-up when they were doing crazy things like flying tires in from the Czech Republic. It sounds like that sort of start-up nonsense is behind them. Read the call transcript (http://seekingalpha.co...). If Tesla is really in the middle of their first (non-GAAP) profitable quarter, the current short selling is insane.
    21 Feb 2013, 11:50 AM Reply Like
  • R0ll1ngSt0ne
    , contributor
    Comments (8) | Send Message
     
    Not to mention that Tesla sales for Q4 of 2012 are about HALF of the planned sales for Q1 of 2013. Twice the sales and about half the expenses with translate into a narrow profit in Q1 and significant profits through 2013.
    22 Feb 2013, 11:51 AM Reply Like
  • Cassina Tarsia
    , contributor
    Comments (647) | Send Message
     
    You can always find something wrong with anything that you don't like. Not unexpected ... good investment oportunity, possibly, if it keeps going down for a while.
    21 Feb 2013, 11:27 AM Reply Like
  • phxcrane
    , contributor
    Comments (422) | Send Message
     
    I can't find any shares to short. Just my luck.
    21 Feb 2013, 06:24 PM Reply Like
  • beachron
    , contributor
    Comments (5) | Send Message
     
    Keep looking. It'll be worth the effort.
    22 Feb 2013, 03:57 AM Reply Like
  • dhbyrd4
    , contributor
    Comment (1) | Send Message
     
    If you consider buying TSLA you would be stupid in doing so considering they are still losing tons of money and have 80 million dollars left in Cash. Also, they have negative retained earnings of almost 1 billion dollars or 25% of their market cap as well as long term debt of 400 million or about 10% market cap. This is one company I would stay away from.
    22 Feb 2013, 01:18 AM Reply Like
  • weekendmoe
    , contributor
    Comments (138) | Send Message
     
    Maybe you have problem reading, but what part of Q1 profitable quarter was hard to understand?

     

    By late december the ramp-up was mostly finished. They managed to sell (deliver) 2400 cars in Q4. In Q1 they will sell (deliver) 4500 cars with increased margins. Is it really that hard to see what`s happening?

     

    Please go short :)
    22 Feb 2013, 04:13 AM Reply Like
  • JackB125
    , contributor
    , TSLA PRO Alerts subscriber
    Comments (313) | Send Message
     
    dhbyrd4, You need to re-read the 8-K form (http://bit.ly/YIUfmH) & read the 4Q conference call transcript (http://seekingalpha.co...).

     

    The 4Q results are just ramp-up noise & Tesla ended the year with a little over $200,000 in cash -- not 80m.

     

    The real news is that they are in the middle of their 1st non-GAAP profitable quarter.

     

    Wall Street is a brutal place. The investment bankers & brokers that are loaning out TSLA shares for the short sellers this week are going to be publishing very positive "buy" analyses next week as well as purchasing large blocks of stock themselves. They will make a killing off of the folks they are helping short sell today. Be careful out there.
    22 Feb 2013, 10:48 AM Reply Like
  • R0ll1ngSt0ne
    , contributor
    Comments (8) | Send Message
     
    I am not sure where you are getting your facts. Did you even read the call transcript? They have about 200 million left in cash, first of all.

     

    Also, Q4 was the last quarter of the ramp-up expenses. It is expected that sales will double in Q1 of 2013, while expenses will be halved.

     

    Since Tesla is in the middle of it's first profitable quarter - continuing to short it will amount to financial suicide.
    22 Feb 2013, 11:51 AM Reply Like
  • JackB125
    , contributor
    , TSLA PRO Alerts subscriber
    Comments (313) | Send Message
     
    Opps, I left off some zero's... $200,000,000.
    1 Mar 2013, 12:57 PM Reply Like
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