[prklmn]

His vision is highly dependent on levering up the company even further and selling more equity in the future. What happens when their cash flow dries up during the next recession, which by the way last happened nearly 10 years ago, and they can’t meet their debt obligations?

When there is chatter that PE ratios don’t matter, it’s time to run for the hills as irrationality has set in. Also, Tesla doesn’t have a PE ratio because they don’t generate profit. The stuff that gets companies trough difficult economic times.

Also, on the batteries and solar endeavors - sure it’s a growth opportunity but does Tesla really have that much of a competitive advantage beyond their brand name?

One final thing. Don’t forget that Musk does not have shareholders’ best interests in mind. He bailed out solar city, which was heading for bankruptcy, using Tesla as his piggy bank. And then got shareholders to drink the kool aid that it was a smart move when in reality he could have simply bought it out of bankruptcy - but that would have cost him personally, so he didn’t. https://www.fool.com/investing/2017/11/01/teslas-solarcity-b...

EDIT: Levering, not leveling