Short term impact, Long term intact
while $Tesla(TSLA.US$ latest quarterly report missed expectation , coupled with the share price that underperformed the general market , this has brought a perception that the entire EV industry is slowing down.
It is inevitably that the macros are exerting pressure on the sales and demand among the automotive industry, especially on cars that are less affordable , but in fact , the EVs are actually still selling like a spinning wheel.
Elon Musk mentioned in the early this year that now the EV industry is in a stage of “survival of the fittest”, hence, with the advantage in manufacturing cost and strong branding, Tesla has been leading the so called “price war” , which is seems like a strategy to increase market share while eliminating those EV OEM maker that are not competitive.
Back in 2020-2021 , when the stock market is flooded with hot money and low interest rate, EV stocks were once the market’s darling, majority were traded at very premium valuation despite unable to generate profit.
I believe that we have to be choosy whenever we want to invest in EV stocks , for now , even though some players such as $XPeng(XPEV.US$ $Li Auto(LI.US$ $NIO Inc(NIO.US$ $Rivian Automotive(RIVN.US$ seems are trying to survive the harsh competition , $Tesla(TSLA.US$ is still the safest bet to place your capital , due to the strong ecosystem Tesla is building , such as the FSD , Supercharger and Mojo AI platform which will be starting to generate huge residual and recurring income few years later .
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
▶️ Chief Trainer @Sharix.my
▶️ grow portfolio from RM 10k to RM 1 mil in 5 yrs
▶️ follow my FB [Zeff的宏财伟略]
8726Followers
45Following
19KVisitors
Follow
OptionStrengthViewer : YEeeee haw!!!
TooTheMOON : Elon had Dojo, no he has Mojo!