UniPixel (UNXL +11.6%) CEO Reed Killion discloses he bought 3.4K shares today at $14.90. Shares of the beaten-down metal mesh touch sensor developer have soared on the news. 45.9% of the float was shorted as of May 31. [View news story]
This stock can move +/-10% or more on no news at all, so moving 12% on news of the CEO buying shares is entirely understandable. Also just a few days ago Goldberg disclosed they increased their position by .5% of total ownership, so those are both good signs.
That being said, $50K is a pretty pathetic show of confidence - if you can even call it that. Hell, I've bought more than 3,400 shares of UNXL in one trade several times in the last few months.
Google Glass Teardown Spurs Himax Sell-off [View article]
Didn't an article come out in a Taiwanese paper a few weeks back stating that insider at Samsung had confirmed that they will be supplying the display used in the final retail version of Google Glass?
Tesla vs Ballard Power is not a valid comparison at all. First if all, and most obviously, Tesla is a full-blown car company which is creating their own brand of cars from the ground up. Ballard Power was simply trying to create a new power source for existing cars, and therefore their success was entirely dependent upon the acceptance of the automotive industry. Tesla doesn't need the auto industry as a whole to accept them to achieve success, all they need is to achieve widespread public acceptance. And as they become more successful and more accepted, they will have the added benefit of other manufacturers wanting to license their technology. This will serve as an additional revenue source, but they will not be dependent upon it to succeed.
Secondly, Tesla managed to produce a sedan which is better than anything else in the industry right now, winning Motor Trend Car of the Year and earning the highest score ever given by Consumer Reports. So even if the Model S were powered by a conventional gas engine, the company would still be a huge success on those merits alone. I see them as a company who is creating the next generation of vehicles which are technologically superior and better performing than anything currently available on the market, and they just happen to run on batteries. Again, Ballard power was simply trying to change the fuel source for existing cars, they weren't creating new vehicles nor raising the bar for the industry like Tesla is.
Third, the cost of gasoline has nearly doubled since 2000 (at Ballard Power's peak) while the cost of electricity has only increased by about 40%. This makes alternative fuel sources more attractive than they were 10 years ago. If you were to compare the savings of an AFV back then to today, the savings are twice as great today. Also, gasoline is dependent upon a finite resource (oil) whereas electricity is never-ending. And as those resources are depleted and as cost increases, which it has dramatically over the past decade, alternatives to gasoline become more and more attractive. So maybe if Ballard Power were to have started their push for fuel cells today they would be more successful then they were in 2000. As with any industry, you could have the best concept in the world but if the world isn't ready for it then it's not going to succeed. Timing is everything, and I think the timing of a company like Tesla is perfect.
That being said, I do believe their stock is over-hyped and over-priced right now, and I do expect a pullback (my guess is into the low 70's/high 60's) over the next 6-12 months, and then once they release the next gen Model X I see it starting to rise again. And then once they get the Gen III to market in the $30-$40K range in 3-5 years from now, that's when they are going to explode. I can see share prices at $150-$200 if they can achieve that goal and scale production up to 200,000 vehicles - which their current facility will easily support.
In Summary, The Tesla Model S Is A Dirty Car [View article]
Here's the thing: Green or not, money-saving or not, it doesn't matter. The Model S is one incredible vehicle and people will buy it (and are buying it) regardless of any of those facts. If it were any other mid-high priced luxury sedan that simply had an internal combustion engine, I bet they would STILL sell the hell out of it. Go sit in one (and drive one if they will let you), you'll see what all the fuss is about. It's not about being green, or saving money, or saving time, it's about owning the most amazing sedan on the planet.
What Tesla's Share Price Is Really Implying [View article]
Well it sure looks like they're on the right track to me - in the first quarter of this year they sold more cars than BMW, Mercedes or Audi did of their luxury sedans of similar price. http://cnnmon.ie/10mslRN. They also sold more than the (previously) top two plug-in electric cars, the Chevy Volt and Nissan Leaf.
So far they have executed their business model to perfection - first make a low-volume high-priced car just to prove the technology works (Roadster), then make a med-volume mid-priced car (Model S, which is a huge success), then make a high-volume low-priced car. So they haven't even begun phase III yet where they make a car that is affordable to the masses, yet the masses are already anxiously awaiting it. And people who probably couldn't normally afford a 70-100K car are even buying it because the car is just that incredible. The hybrid was car 2.0, this is car 3.0.
Tesla will only grow from here. The stock price - well, it will most likely be up & down in the near future just as it usually is with any growth stock. Hell, look at Apple back at Jun '07 when the first iPhone came out - the stock had short term swings as high as +50% all the way down to -50% over the next year. I'm sure the same thing will happen with Tesla. I suspect that once the short squeeze dries up (which started with margin calls on Thursday, so today is day 3), and the news hype dies down (which there probably won't be more of until they announce something new), there will probably be a pullback to the $70-75 range. That's when I will get in long-term with my IRA account. Until then I'm just day-trading it and loving it!
What Tesla's Share Price Is Really Implying [View article]
I agree that TSLA has gotten a bit ahead of itself, but no way are we going to see it in the 30's ever again. Not when there is a waiting list of 50,000+ people who are dying to buy the model S. And not when TSLA already has a facility which has space needed to manufacture hundreds of thousands of cars per year. Sure it'll take then years (probably 5-10) to reach that point, but this stock and this company is going nowhere but it.
I do believe it might pull back 15-20% after the short squeeze ends and all of the new hype from the past week fades, but I say $70-$75 is the lowest we'll ever see it again. Day traders might stop trading it, but investors aren't going to pull out when they know this company is destined for big things. Only thing that can knock this back down to <$50 is a hiccup in production or a major recall, IMHO.
Medical Marijuana's Journey To $0: CannaVEST Payment Was Worthless [View article]
You and Alan need to find a new hobby. Seeing these same MJNA bashing articles getting posted over and over, week after week, always within a day or two of each other, is getting really old.
Strayer Education Takes The Initiative To Combat Falling Enrollment [View article]
You conveniently left out LOPE, which is a for-profit university that is growing at a rapid pace. They just reported an excellent quarter including increased enrollments and profits, and they also raised guidance for the next quarter and the rest of the year. Their stock saw a nice 11% pop over the past 2 days, and it is up +82% in the same 4 year time frame that you mentioned. So they must be doing something right!
P.S. LOPE was recently ranked #2 on Forbes' 2012 list of America's Best Small Companies (<$1B annual sales)
Tesla Squeaks Out A First Ever Profit With The Help Of A DOE Stock Warrant, What's Next? [View article]
Instead of trying to analyze and nit-pick the numbers, just look at the facts which are right in front of your face. They made a car which won Motor Trend car of the year, got a near perfect rating from Consumer Reports, makes everyone who drives it want one immediately, and they are able to produce it profitably in relatively small quantities (obviously larger quantities will have higher margins) - and you're bearish on the company? That makes sense.
You can't always go off numbers alone, you have to take the market's opinion into play. Just look at Apple - people fell in love with the stock and the price soared, then they fell out of love and the price plummeted even though their numbers were still very strong.
People buy stocks based on what they feel the company is going to do in the future. And even though Tesla may not be the most profitable company right now, they are also only 3 years old and they have plenty of time to grow up, improve their processes, lower costs, and introduce a broader lineup of vehicles. Hell, this is only their SECOND car ever made, and people are already in love with them.
Right now Wall Street loves TSLA. They are the new hot chick that just moved onto the street, and they are here to stay.
Tesla Motors (TSLA +3%) CEO Elon Musk sent another intriguing tweet earlier today. The exec says a new Tesla strategy will be unfurled tomorrow which Tesla owners (cars or stock?) will like. Musk also had a word or two for shorts: "Seems to be some stormy weather over in Shortville these days." [View news story]
It's going to continue upwards, barring any major snags in production or technical flaws in the product (recalls, battery failures, etc). If you sit and watch from the sidelines, kicking yourself for not getting in at $36, then in 3 years you'll be like those people who wish they had gotten in on NFLX 3 years ago at $50 or AAPL at $90. I'm the idiot who had thousands of shares at $35 and sold at $38 after 2 weeks for quick profit, but that was before all of the new hype about the brand. After that it quickly went up to the mid 40's and I kept telling myself I'd wait for a pullback to get back in, but now it's in the mid 50's.
I missed a small pullback a few days ago, so they do happen, but they aren't going to be huge. I decided to stop waiting and just got back in this morning. :)
Alcoa Inc. (AA) declares $0.03/share quarterly dividend, in line with previous. Forward yield 1.42%. For shareholders of record May 13. Payable May 27. Ex-div date May 09. (PR) [View news story]
Agreed. Hasn't moved above $10 in over a year, and they have the lowest profit margin of any company in the DOW 30 (1.2%) so it's not looking like it will move much higher any time soon. If they paid a decent dividend it might be worth hanging on to, but not with just a 1.42% yield.
Tesla Motors (TSLA +3%) CEO Elon Musk sent another intriguing tweet earlier today. The exec says a new Tesla strategy will be unfurled tomorrow which Tesla owners (cars or stock?) will like. Musk also had a word or two for shorts: "Seems to be some stormy weather over in Shortville these days." [View news story]
I agree, it means they are focusing too much on stock price rather than just growing the company and letting the stock take care of itself. Funny enough, that's what Tim Cook is trying to do and he gets nothing but flack for it. So I guess you can't win either way!
Tim Cook: The (Negative) $250,000,000,000 Man [View article]
Just because the stock went up quickly (going from $400 to $700 in 1 year) doesn't mean that it was "abnormally out of control". In fact, during that run from Sept '11 to Sept '12 AAPL's P/E ratio was between 13-15 most of the time, while the S&P500 average went from 13 to 16. So it wasn't out of control by any means, it was actually right in line with the rest of the market. The only time where AAPL has been abnormally out of control is right now, and it's towards the downside not the upside. Performance is what drove the stock up, but now it's negative media hype that has driven it back down.
UniPixel (UNXL +11.6%) CEO Reed Killion discloses he bought 3.4K shares today at $14.90. Shares of the beaten-down metal mesh touch sensor developer have soared on the news. 45.9% of the float was shorted as of May 31. [View news story]
That being said, $50K is a pretty pathetic show of confidence - if you can even call it that. Hell, I've bought more than 3,400 shares of UNXL in one trade several times in the last few months.
Google Glass Teardown Spurs Himax Sell-off [View article]
Tesla-Learning From History [View article]
Secondly, Tesla managed to produce a sedan which is better than anything else in the industry right now, winning Motor Trend Car of the Year and earning the highest score ever given by Consumer Reports. So even if the Model S were powered by a conventional gas engine, the company would still be a huge success on those merits alone. I see them as a company who is creating the next generation of vehicles which are technologically superior and better performing than anything currently available on the market, and they just happen to run on batteries. Again, Ballard power was simply trying to change the fuel source for existing cars, they weren't creating new vehicles nor raising the bar for the industry like Tesla is.
Third, the cost of gasoline has nearly doubled since 2000 (at Ballard Power's peak) while the cost of electricity has only increased by about 40%. This makes alternative fuel sources more attractive than they were 10 years ago. If you were to compare the savings of an AFV back then to today, the savings are twice as great today. Also, gasoline is dependent upon a finite resource (oil) whereas electricity is never-ending. And as those resources are depleted and as cost increases, which it has dramatically over the past decade, alternatives to gasoline become more and more attractive. So maybe if Ballard Power were to have started their push for fuel cells today they would be more successful then they were in 2000. As with any industry, you could have the best concept in the world but if the world isn't ready for it then it's not going to succeed. Timing is everything, and I think the timing of a company like Tesla is perfect.
That being said, I do believe their stock is over-hyped and over-priced right now, and I do expect a pullback (my guess is into the low 70's/high 60's) over the next 6-12 months, and then once they release the next gen Model X I see it starting to rise again. And then once they get the Gen III to market in the $30-$40K range in 3-5 years from now, that's when they are going to explode. I can see share prices at $150-$200 if they can achieve that goal and scale production up to 200,000 vehicles - which their current facility will easily support.
In Summary, The Tesla Model S Is A Dirty Car [View article]
What Tesla's Share Price Is Really Implying [View article]
So far they have executed their business model to perfection - first make a low-volume high-priced car just to prove the technology works (Roadster), then make a med-volume mid-priced car (Model S, which is a huge success), then make a high-volume low-priced car. So they haven't even begun phase III yet where they make a car that is affordable to the masses, yet the masses are already anxiously awaiting it. And people who probably couldn't normally afford a 70-100K car are even buying it because the car is just that incredible. The hybrid was car 2.0, this is car 3.0.
Tesla will only grow from here. The stock price - well, it will most likely be up & down in the near future just as it usually is with any growth stock. Hell, look at Apple back at Jun '07 when the first iPhone came out - the stock had short term swings as high as +50% all the way down to -50% over the next year. I'm sure the same thing will happen with Tesla. I suspect that once the short squeeze dries up (which started with margin calls on Thursday, so today is day 3), and the news hype dies down (which there probably won't be more of until they announce something new), there will probably be a pullback to the $70-75 range. That's when I will get in long-term with my IRA account. Until then I'm just day-trading it and loving it!
What Tesla's Share Price Is Really Implying [View article]
I do believe it might pull back 15-20% after the short squeeze ends and all of the new hype from the past week fades, but I say $70-$75 is the lowest we'll ever see it again. Day traders might stop trading it, but investors aren't going to pull out when they know this company is destined for big things. Only thing that can knock this back down to <$50 is a hiccup in production or a major recall, IMHO.
Medical Marijuana's Journey To $0: CannaVEST Payment Was Worthless [View article]
Strayer Education Takes The Initiative To Combat Falling Enrollment [View article]
P.S. LOPE was recently ranked #2 on Forbes' 2012 list of America's Best Small Companies (<$1B annual sales)
Tesla Squeaks Out A First Ever Profit With The Help Of A DOE Stock Warrant, What's Next? [View article]
You can't always go off numbers alone, you have to take the market's opinion into play. Just look at Apple - people fell in love with the stock and the price soared, then they fell out of love and the price plummeted even though their numbers were still very strong.
People buy stocks based on what they feel the company is going to do in the future. And even though Tesla may not be the most profitable company right now, they are also only 3 years old and they have plenty of time to grow up, improve their processes, lower costs, and introduce a broader lineup of vehicles. Hell, this is only their SECOND car ever made, and people are already in love with them.
Right now Wall Street loves TSLA. They are the new hot chick that just moved onto the street, and they are here to stay.
Very long TSLA here.
Proto Labs Downside Underscored By 3D Systems Deal [View article]
Long XONE @ $27 and DDD @ $31.
Tesla Motors (TSLA +3%) CEO Elon Musk sent another intriguing tweet earlier today. The exec says a new Tesla strategy will be unfurled tomorrow which Tesla owners (cars or stock?) will like. Musk also had a word or two for shorts: "Seems to be some stormy weather over in Shortville these days." [View news story]
I missed a small pullback a few days ago, so they do happen, but they aren't going to be huge. I decided to stop waiting and just got back in this morning. :)
Alcoa Inc. (AA) declares $0.03/share quarterly dividend, in line with previous. Forward yield 1.42%. For shareholders of record May 13. Payable May 27. Ex-div date May 09. (PR) [View news story]
Tesla Motors (TSLA +3%) CEO Elon Musk sent another intriguing tweet earlier today. The exec says a new Tesla strategy will be unfurled tomorrow which Tesla owners (cars or stock?) will like. Musk also had a word or two for shorts: "Seems to be some stormy weather over in Shortville these days." [View news story]
Tim Cook: The (Negative) $250,000,000,000 Man [View article]
Why Medical Marijuana Inc. Has Lost Its Buzz [View article]