Tesla long term valuation discussion with Andrea James

Bloomberg Markets: Model X and Tesla long term valuation discussion with Andrea James

Tesla long term valuation transcript

3:09 UP, TESLA SHARES SAW
3:11JUMPED AFTER A VERY POSITIVE
3:12REVIEW ABOUT THE LATEST MODEL S.
3:20 SHOWS THE WILL
3:21WINNERS AND LOSERS COMING UP.
3:25 BLYTHE MASTERS WILL BE HER
3:26WITH HER TAKE.
5:52ALIX: WELCOME BACK TO BLOOMBERG
5:53MARKETS.
5:53SCALET: IT’S TIME FOR THE
5:57BUSINESS FLASH.
5:57ALIX: OWNERS OF SMALL BUSINESSES
6:01ARE LESS CONFIDENT IN THE
6:02ECONOMY.
6:06SMALL BUSINESS OPTIMISM FELL
6:07LAST MONTH TO ITS LOWEST IN TWO
6:09YEARS.
6:10SIX OF THE 10 INDICES DECLINED.
6:11SCALET: SHAREHOLDERS ARE
6:16BATTLING TO CHANGE THE AIRLINE.
6:19THEY ARE NOMINATING SIX
6:20CANDIDATES FOR THE BOARD.
6:24THEY OWN 7% OF THE STOCK.
6:26THEY ARE FRUSTRATED WITH THE
6:27AIRLINES PERFORMANCE.
6:29ALIX: THE STATE IS SELLING BONDS
6:34TO GENERAL OBLIGATIONS.
6:38IT’S THE FIRST OFFERING IN
6:39SECURITIES SINCE OCTOBER.
6:42THEY ARE REAPING GAINS FROM TAX
6:45INCREASES SUPPORTED BY THE
6:46GOVERNOR.
6:50SCALET: THAT IS YOUR BUSINESS
6:53UPDATE.
6:57 THE TESLA STOCK AT A 4%

Tesla long term valuation
6:59BOOST AFTER A SEATTLE ANALYST
7:01TEST RODE THE MODEL S LAST
7:02NIGHT.
7:06 JAMES RATES A
7:06BUY.
7:12SHE JOINS US NOW FROM SEATTLE.
7:15IT SOUNDS LIKE THERE IS A LOT OF
7:16HYPE SURROUNDING THE MODEL ACTS.
7:19IT LIVES UP TO THE HYPE.
7:22ANDREA: I LOVED IT.
7:23I CAME AT IT FROM THE POINT OF
7:27VIEW OF A MOM.
7:31 NOT AS ANING A
7:32ANALYST, BUT AS A CUSTOMER.
7:34I DECIDED TO TEST DRIVE IT.
7:35IT WILL BE THE BASIC CAR ON THE
7:37MARKET.
7:40IT’S A VERY USEFUL CAR.
7:43I ACTUALLY REALLY LIKED IT.
7:43ALIX: YOU DON’T COVER THE OTHER
7:48AUTOMAKERS.
7:50HOW DO YOU MODEL YOUR
7:51VALUATIONS?
7:55ANDREA: MY EVALUATION IS BASED
7:57ON IT BEING THE FASTEST GROWING
7:59COMPANY IN THE WORLD AND CREATED
8:01A LOT OF VALUE VERY QUICKLY.
8:02WE HAVE A HIGH MULTIPLE.
8:05I THINK WE HAVE $20 WORTH OF
8:07EARNINGS POWER IN THE YEAR 2020.
8:11THE RAMP ON HOW WE GET THERE,
8:12I’M NOT SURE.
8:14I VALUE IT AS A TECH COMPANY.
8:20 YOU COVER A RANGE OF
8:22OTHER COMPANIES INCLUDING
8:23GUNMAKERS AND ENERGY EQUIPMENT
8:24MAKERS.
8:28WHAT DO THEY SHARE WITH THESE
8:32OTHER RANGE OF COMPANIES?
8:35ANDREA: THE PRESENCE OF THE
8:36PRODUCT ON THE MARKET DISRUPTS
8:38THE MARKET.
8:40IT FUNDAMENTALLY CHANGES THAT
8:41MARKET OR CHANGES HUMAN
8:43BEHAVIOR.
8:45THAT’S HOW I LOOK AT IT.
8:50 ISSUES AS THEY
8:52ARE ONLY GOING TO SELL 500,000
8:53UNITS GLOBALLY.
8:56IT’S HARD TO SEE HOW THE
8:58EVALUATION CAN BE SO HIGH.
8:59SCALET: IT’S A NICHE CARMAKER.
9:09 THE IS YOUR THOUGHT ON
9:09ABILITY TO BECOME A MASS-MARKET
9:10AUTOMAKER.
9:11ANDREA: IT’S VERY GOOD.
9:13TESLA HAS SOLVE THE ENERGY
9:15STORAGE PROBLEM.
9:17THEY ARE SOLVING THE PROBLEM OF
9:17DRIVING.
9:19THEY ARE SOLVING THE PROBLEM OF
9:21ENERGY STORAGE.
9:27THAT’S TRUE OF ANYTHING.
9:28IT HAS NOTHING TO DO WITH ME IN
9:31A STOCK ANALYST.
9:32THE REASON WHY WE USE GASOLINE
9:33IS BECAUSE THAT’S HOW WE STORE
9:34THE CAR ARE — POWER.
9:41IT HAS BEEN HARD TO HAVE A
9:42HIGH-POWERED APPLICATION FOR
9:46AUTOMOTIVE USE OR USING
9:47ELECTRICITY.
9:47THEY HAVE SOLVED THAT PROBLEM.
9:49THEY ARE TAKING THAT AND
9:50APPLYING IT TO THE ENERGY
9:55STORAGE MARKET AS A MEAN OF
9:56STORING SOLAR POWER.
9:57I THINK WE WILL SEE OTHER
9:58PRODUCT LINES, OUT.
10:05 BETTEROES THAT MEAN A
10:05WAY OF LOOKING AT TESLA AS A
10:08GIGANTIC BATTERY COMPANY?
10:12ANDREA: THEY ARE SOLVING
10:13PROBLEMS THAT HAVE TO DO WITH
10:14ENERGY STORAGE.
10:17AS A SPECIES, THAT’S A BIG
10:18PROBLEM THAT WE ALL FACE.
10:20HOW DO YOU STORE SOLAR POWER?
10:23THAT IS HOW I SEE THAT COMPANY.
10:25THEY ARE GOING TO BE VERTICALLY
10:28INTEGRATED ON THEIR CELL
10:28PRODUCTION BY 2020 THROUGH THEIR
10:30GIGA FACTORY.
10:33IT WILL OPEN IN NEVADA.
10:39 IS IT IMPORTANT?
10:40IS IT CRITICAL FOR TESLA’S CARS
10:42TO BE PROFITABLE WHEN IT COMES
10:44TO SELLING VEHICLES?
10:49ANDREA: YES.
10:50THAT’S WHAT THIS YEAR IS ALL
10:51ABOUT.
10:51THEY NEED TO PROVE TO WALL
10:53STREET THAT THEY CAN MAKE MONEY
10:55ON THE BOTTOM LINE.
11:00IT’S THE TIME OF YEAR WHERE THEY
11:02NEED TO PROVE THEY CAN DO THAT.
11:06 TOTHEY WANTED TO COME BACK
11:07THE CAPITAL MARKETS TO RAISE
11:08MONEY, PEOPLE KNOW THEY CAN MAKE
11:10MONEY SELLING THE PRODUCTS THEY
11:11MAKE.
11:14 SELLINGNEW VEHICLES ARE
11:15AT A RECORD RATE RIGHT NOW.
11:16WHERE DOES TESLA GO?
11:22 YOUR POINT, DOES IT
11:23MATTER IF CAR SALES HAPPY FOR
11:24TESLA?
11:28ANDREA: THEY HAVEN’T.
11:30WHAT TESLA DID IS THEY WENT FROM
11:322012 SELLING 10 CARS TO IN 2015
11:40 CARS THENRE MODEL S
11:41MERCEDES.
11:47 TO FIRST INOM WORST
11:49THEIR CATEGORY.
11:51THE LONG-TERM BET IS THEY CAN DO
11:53THAT WITH OTHER TYPES OF CARS.
11:57 THREE DEBUTS MARCH 31.
12:01ALIX: THANK YOU SO MUCH.
 

Tesla long term valuation