I Believe Musk Is Bluffing About Tesla Q3 Profits

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About: Tesla, Inc. (TSLA)
by: Montana Skeptic
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Montana Skeptic
Bonds, long-term horizon, portfolio strategy, contrarian
Summary

Musk repeatedly has promised GAAP profits in Q3 and Q4. My guess? He’s bluffing.

Tesla needs the capital before November, when it will announce its Q3 financial results.

Musk is hoping the investment bankers fold, and come with a capital raise, before he has to lay his Q3 cards on the table.

CoverDrive takes a close look at the Q2 delivery numbers and offers a different slant on the Model 3 results. It’s all about batch building.

CoverDrive finds cause for concern in the Model S and X delivery numbers. Tesla is again building inventory, and may well have to slash prices to unload it.

Introduction

At its best, Seeking Alpha provokes some informed discussion among people with different viewpoints. Today, CoverDrive offers a different slant on some Tesla (TSLA) analysis offered last week by Donn Bailey in