Many have been comparing Tesla Motors Inc (NASDAQ:TSLA) to Apple Inc. (NASDAQ:AAPL). Some are even saying that the innovative edge Apple was once known for has shifted over to Tesla. Of course there are some similarities and some differences, but at the end of the day, Tesla is no Apple.
How Tesla and Apple are alike
One of the biggest comparisons that has been drawn is between Tesla CEO Elon Musk and former Apple CEO Steve Jobs. Both have become known for innovation, but last week it was noted that Musk’s innovative ideas go beyond Jobs’ ideas. Instead of just dreaming things up, he actually builds them because he is also an engineer.
Chilton Capital's REIT Composite was up 6.1% last month, compared to the MSCI U.S. REIT Index, which gained 4.4%. Year to date, Chilton is up 6.3% net and 6.5% gross, compared to the index's 8.8% return. The firm met virtually with almost 40 real estate investment trusts last month and released the highlights of those Read More
And then there’s the argument about both companies being cult stocks. The fact that Tesla Motors Inc (NASDAQ:TSLA) is a cult stock is pretty obvious because it has risen about 400 percent so far this year. Apple Inc. (NASDAQ:AAPL) has also been a cult stock in the past, although in a different way.
Jeff Macke of Breakout spoke with Jon Najarian of OptionMonster. Najarian said he has hasn’t seen the polarization of reactions with any stock since Jobs was running Apple. Today Tesla has that same polarizing effect on Wall Street. Currently there’s about 30 percent short interest in Tesla Motors Inc (NASDAQ:TSLA).
How Apple and Tesla are different
However, Macke notes that there hasn’t been a time when Apple was obviously overvalued, as Tesla is right now. It’s nearly impossible to make a fundamental case for the automaker because the stakes are expected to be large, but they are largely unknown.
No one really knows what the EV technology Tesla Motors Inc (NASDAQ:TSLA) has is really worth. The company is changing the auto industry, but it’s also working on a number of unknowns. Investors are speculating about the future, and you can’t put a price on the sort of technology Tesla has because we don’t know what it’s worth yet.