While Elon Musk says Tesla's (NASDAQ:TSLA) Shanghai factory should cost around $2B, Goldman believes the price tag could be double or more that amount, writes Jacky Wong. And that cash needs to be raised on top of the $4.3B in refinancing necessary on existing paper coming due in 2020.
Then there's time - it could be two-three years before the new factory will be up and operating. In the meantime, the company will continue to suffer under tariffs and competitors will continue to catch up.
In other news, Morgan Stanley's Adam Jonas is out with a bullish note - he thinks the company could provide very strong guidance on profits and cash flow for Q4.
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