[cassac]

They may be over valued but everybody is absolutely playing catch-up and are quite a bit away from their profit margins.

What’s even worse for the legacy companies is Tesla is the Kleenex/Coke of electric cars to a lot of young minds.

[V__]

Tesla makes better software right now. But the profit-margins argument seems to be a misconception [1]. Until Tesla distances itself from Musk, I also don't think the brand will stay 'cool' for that long.

[1] https://seekingalpha.com/article/4573601-tesla-gross-margins...

[cassac]

I don’t think those are fully like to like comparisons though. You have to run those numbers just for electric. Nobody I know would cross shop a Tesla and a Rav 4. They can have their margins on their ICE catalog but they don’t have it on their electric yet even with the dealer network numbers added in.

[V__]

This we can agree on, but just as an example VW will have those margins within this year and electric sales are about a third of Teslas: https://www.reuters.com/business/autos-transportation/volksw...