Submitted by kjin7117 on June 8, 2013
I recently purchased a MS and am considering purchasing some stock, but this article sounds pretty convincing that the valuation of the stock has gotten out of hand. In my opinion Barron's is a fairly reputable magazine.
The only way Tesla deserves the current stock price is if they are successful with their gen 3 vehicle. However there seems to be a significant risk that the battery technology will not be advanced enough to lower the cost by the 3-4 year time frame Musk keeps mentioning. If there is a significant delay, chances are the stock will take a major hit and allow competitors to catch up as well.
Any thoughts? Posted below is the link to the article.