Tag Archives: Tesla

Warren Buffett, Back of the Napkin Market Valuation Tracker … Part 1 in Market Valuation Review Series

With on-line investment animal spirits accelerating in some of their antic spirits, we thought it a good time for a calmer, longer term view of some high level market valuation views.

Oh … have not heard of the animal spirits? …. Let me digress for just a minute. A collective group of folks are ganging up on companies that have large short interest. Short Interest? This means company’s who’s stocks have large amounts of investors betting the company will go bankrupt or at least eventually lose value. As we say often, when everyone is on one side of the trade/theory/belief, this can cause vulnerability on the opposite side. When a group gets together and buys in mass, a largely shorted company stock, it can cause a short squeeze, similar to the afore mentioned Tesla…

You may say “So What” and that is fair, but this can cause other areas of the market to become frothy (which we have been speaking of before) and it also speaks to the recklessness of a investor behaviors and their disregard for any type of safety.

Buffett VERY High Level Market Indicator Flashing Caution

Warren Buffett aka the Oracle of Omaha due to his investing prowess, rarely gives any of his broad market comments and always qualifies that he has no idea where the markets will go… as do we!

BUT,

Price is what you pay, Value is what we get!

Chart Via Jill Mislinski 1-5-21 (Advisor Perspectives)

That’s an all time high/expensive aka NOT CHEAP- just saying!

Let’s be careful out there! Anyone remember what cop show this quote was from?

Have a Great “Buffett Indicator Flashing Red” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.

jkfinancialinc

street-cents

Elon Musk Shakes the Shorts … Neat Chart from Our Friends at Visual Capitalist

While Elon Musk can certainly be a controversial figure… especially with his Cell phone and Twitter App Opened… he has a way of making successful endeavors.

Not withstanding the above, we find Musk an innovator and certainly not afraid of what critics may say. Here and here and even here in our Newsletter earlier this year we spoke of Musk. With Musk’s announcement of moving to Austin Texas, we likely will be seeing and hearing more from him.

The following chart was just too good to pass up from our friends at Visual Capitalist.

As a reminder, a short seller makes a bet the stock will go down, which usually happens much faster than a stock climbs, by borrowing the stock from some one, selling it with the intent of buying it back at a lower price. Two big catches with this technique are that a short sellers losses are unlimited as a stock may grow to the sky and if too many shorts end up on the same company, a short squeeze or unnecessary and unwarranted run up in the stock as everyone buys to cover may occur….. trampling the Shorts !

Have a Great “Musk Shakes the Shorts” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.

jkfinancialinc

street-cents

Did Elon Musk, Founder of Tesla, Get the Last Laugh? Maybe! The Short Squeeze

Elon Musk, Tesla founder and SpaceX Explorer garnered our attention with several interesting charts which we highlighted here and here on how he brought the electric car to fruition.

Musk, so controversial, not only in his endeavors, but in his life, went against the grain with his Tesla Automotive, giving rise to the first all electric vehicle (also in very lofty production goals, which were at first not met) and a unique against the grain sale system that bypassed much of the standard mandatory current automobile industry taxes tariffs and payments.

Musk, during a Twitter barrage about a year ago, got himself into trouble resulting in his removal from several important roles at his firm Tesla.

Much of the Twitter trouble came from an attempt to chase short sellers – those investors that actually sell your company stock short (in advance) with the expectation that it will go down there by purchasing it back at a profit. Musk taking issue with the vast community of shorts in a Twitter storm created interest from the regulators.

Five Years of Short Interest

Fast forward to just last week,  neat chart from our new test service, shows exactly what happens when too many people get on one side of the trade and what it can do to the stock.

As, the graph rises, more shorts are piling on … but what happens if they all need to hit the exits at the same time?

2-7-20 Tesla Short Interest

This is What happens, AKA Short Squeeze

While the stock has come back down to earth a bit at the end of last week, there were certainly many investment bodies left behind on the short squeeze roller!

2-7-20 Tesla Graph

We are not recommending Tesla as an investment, or as a purchase for your next car, only somewhat humored by the Lemming like pilings on and off, and what it has ultimately done to Tesla stock.

Did Elon Musk Win? Time will tell!

Have a Happy “No Lemming” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
jkfinancialinc
street-cents

Tesla the Future – Final Of Three Part Series

Due to the terrific response, conversations, feedback and requests from our Part 1 and Part 2 Tesla Series

We bumped our Interest Rate discussion back to bring you the last in this neat three part series from our friends at Visual Capitalist!

Cool stuff!

Tesla the Future Final Of Three Part Series

tesla-Part 3 -vision-infographic

Have a GREAT “Futuristic” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com

SpaceX Falcon Heavy Launch … Innovator or Disrupter — Elon Musk Part 2 of 3 …

Whew… we had great feedback from Part 1 of Elon Musk and Tesla …Thanks for all the great comments…

Break In – We just had to add yesterdays launch of the SpaceX Heavy Lift off-

Pay special attention to Elon’s Tesla coming out of the shuttle at the 25 minute mark AND the incredible rockets landing on a targeted pad at the 30 minute mark … fast forward if you do not have time for the entire video, the rocket landing is INCREDIBLE ! And yes, that is a David Bowie song playing when they begin orbit!

 

 

Here is Part 2 for your Viewing!

Tesla Part 2 -rise-of-tesla-part-2-infographic

Have a Great “Innovative Tesla” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com

 

 

Disruptive or Innovative – Tesla Part 1

From our friends at Visual Capitalist …

This three part series is just too good to pass up … we will present the other two parts soon …

Even if you do not care for Elon Musk and his ideas, it’s hard not to admit he has effectuated changes that will be with us for some time!

Tesla Part 1

Tesla Part 1 -origin-story-tesla-infographic

Have a Good “Innovative” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com

Who says price does not matter ? Not Elon Musk

Elon Musk, founder of Tesla along with many other enterprises, stunned everyone in the automobile industry as well a many on Wall Street !

Meet the Tesla Model 3

Tesla Model 3

After announcing a new ~ $35k price range car available in 2017 with near 300 mile range…oh and of course this is a Tesla, which is all  electric. Pre-orders are currently at over $400k, each with a $1k deposit to hold your spot in line !

Well done Elon, congrats…. now how are you going to make that many cars ?? Great problem to have !

This does not mean the stock is cheap …by many metrics, IT IS NOT …

Interesting to us that with the price of oil so low, such HUGE consumer demand.

Are we being Greener ?

Have a Great Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com