I have to hand it Elon Musk he took my sage advice and applied it to beat the folks who are shorting his stock.
Remember I said Tesla should increase the price of its cars, never make the 40 kwh people’s car, and raise equity and pay off the DOE loans so the company is not shackled with the government telling them to produce cheap EVs. Tesla is the Electric Ferrari and should price itself like an electric Bugatti.
Each car should now be priced at $130,000 and they will still sell 20,000 cars worldwide. The car is gangrene and not green due to the massive amount of primary electricity needed to produce the battery pack that needs to be very large to give the car any real range. At 22 MPG equivalent based on real thermodynamic analysis and not the poppy cock from the US EPA the Model S has similar fuel inefficiency to the Porsche Panamera that it directly competes with.
The diesel Panamera is greener than the model S but who really cares when one spends over $100k for a performance car that is for the 1%. The pretend green guys who buy a Tesla really want that zero to sixty acceleration in under 4 seconds.
The DOE will likely get their money back from Tesla before the end of the month when Tesla does it latest stock and bond offering of almost a billion dollars.
The DOE will claim success in having launched Tesla and say they helped America lead the world in EVs. Little will they say the car is gangrene, inefficient, expensive, and simply for the 1%. Elon will continue to claim he is green and that the Tesla saves carbon emissions when we all know that it does not. Elon can claim he beat out the equally greedy shorts and that he won in keeping his Teslacle from falling by pulling off a “profit” in the first quarter in order to raise the $1 billion to keep the company afloat.
The new investors who buy into Tesla are true believers in Elon and the profitable future of the EV company. I believe Tesla will never deliver a car for less than $50,000 that will go into a mass market unless of course Tesla starts selling cars with internal combustion engines that are in fact greener than the Model S. Who knows maybe Tesla will get another $500 million from the DOE sometime in the future by fessing up that the EV is gangrene and they have a better alternative for a propulsion system
I have to applaud the Musketeer for having beat off the greedy shorts who took it in their shorts. Round one to Elon but making cars is a ten round prize fight.