I'm thinking about investing in TSLA. Could use some guidance and suggestions

I'm thinking about investing in TSLA. Could use some guidance and suggestions

About three months ago I had a debate with my father and sister about investing in Tesla when it was about $150 a share. My father, who has lost money in the stock market in the late 90's early 2000's, told me not to and my sister, a financial adviser, told me to hold off saying that $150 was too much. I regret following their advice after seeing the shares at $244 today. I'm thinking about doing it once again but have I waited too long? I know my sister will say it's too high, like she did before...but when is it not?
I've done some research and I like the direction Tesla is going. I know that their power plant is a step towards the direction of mass production. My main concern is towards the future. Wouldn't anyone, especially Mr. Musk, be concerned that a country like China could create their own electric car for a cheaper price once they have received Teslas? That could have a significant impact on Tesla stock.

Sorry if this question seems dumb to some. Just interested in some feedback-positive or negative.


holidayday | 03. März 2014

My feeling is this:
If you like Tesla, and want to own a piece of it, then buy at any price and HOLD for the long term.
If you are investing in the hope to make money, do not buy. There is too much volatility in the stock.
If you think the stock will go down, DO NOT SHORT anyway. There is too much volatility in the stock, and shorts have had to. . ."eat their shorts".

The best advice I can give is to wait for a drop in price (such as today), and buy at that time. In the long term, the gains should be there.

Real competition is still not on the horizon, and the stock price reflects perfection for the next 3 years. Of course, it should go higher over the long term, as every car Tesla makes is sold. Tesla is the only car-maker with plans for SuperCharging on multiple continents.

There are other areas that Tesla can get into (none publicized by Tesla, but rumored by those of us on the blog, as well as Morgan-Stanley's prediction of disruption of energy distribution as well as auto manufacturing.)

In Summary, the stock is overpriced for what Tesla is doing right here, right now. But with the future of Tesla quite clear for the next 5 years, it should only go up.

jstack6 | 03. März 2014

No company has made anything even close to the Tesla and they have the best range of any EV in the World. Their Super Charging Network alone guarantees no one can come close. Their battery swap is also world leading. I'd say they have a wide open market and are 10 years ahead of everyone.

They also help clean the air and reduce the $1 Billion a day of imported OIL. Their model X has over 20,000 pre-orders. The GEN 3 will be even a bigger seller with many other variations like pickups, vans, and convertibles.

Other automakers use Tesla to make an EV like the RAV4. Since their batteries are also used for Solar backup systems the uses are unlimited.

Seeking alpha shows the stock should double each year for the next 8 years. They sky is the limit for Tesla.

Brian H | 03. März 2014

If you'd bought at the opening today, you'd have made $14/share by the close. Started about $236, closed about $250!!

Iowa92x | 03. März 2014

What Brian said, mount the TSLA stock, stat! I own only a few shares and on a good day make $4,500 per day. Today, many stock were down. Except Tesla.

tslafan4life | 03. März 2014
hitesh2269 | 03. März 2014

very soon i'm planning to buy tesla stocks and when i make the profit i will invest in Model X my future ride.I LOVE TESLA.

joenanp | 04. März 2014

There is another thread on Tesla as an investment opportunity that goes a ways back. Lots of good advice in there too. We all have our own opinions on what stocks to buy and how to buy/sell. I have always bought in companies that look good at least a few years out. I think Tesla is good a decade out. I am accumulating as I can and am not concerned with the price. If you want in, you can't just say, "its too high." That philosophy will leave you behind 90% of the time. As others have said, if you like the company and what they are doing, accumulate it as you can, and don't let daily prices scare you. In this case, remember the movie 'Trading Places?' Dan Akroid and Eddie Murphy are at the stock exchange and start buying shares and the two evil brothers then yell "sell! Sell! Sell!" Well, don't do that. Buy! Buy! Buy! :)

Brian H | 04. März 2014

Sounds like you are describing dollar-cost averaging (buy a fixed $$ amount at fixed periods, regardless of price). Lots to recommend the approach.

JZ13 | 05. März 2014

My personal price targets:

1) When Tesla unveils the Model E (supposedly at the Detroit Auto Show this upcoming January or shortly thereafter) the stock will be $500 on the news.

2) When Model E begins mass production the stock will be $1,000

Brian H | 05. März 2014

Include 5 shares with the purchase of the car.

tslafan4life | 05. März 2014

you cant just throw 500/1000 PT out there unless you have some #s

JZ13 | 05. März 2014