Analysts fear a massive correction in TSLA's price could wipeout 'zombie stocks'

Originally published at: Analysts fear a massive correction in TSLA's price could wipeout 'zombie stocks' | Boing Boing


Clearly they should drop a few million and short the stock. That has historically gone very well.


We have finally reached the “Emperor Has No Clothes” point for the zombie stocks. Bravo!


1 2 3 …Too big to fail…


The high valuation- given that so many other car manufacturers are delivering EV’s - seems really weird. GM beat them to producing the first long range mass market EV. Ford has an EV F150 out long before the adolescently named “cybertruck”.

Hedge funds are going to short this stock - then it will tumble. They’ll make money off both ends of the market irrationality.


Me reading this entire article, recognizing the various words and phrases as a language I’m familiar with.





I own GM’s “first long range mass market EV”, it really isn’t a nice as a Tesla Model 3. It does cost a lot less money though (enough less that I’m happy with my deal even without adding “not supporting Elon even indirectly” to the plate!). I’m not partially sure this is a victory for GM (oh, and largely GM has not improved the Bolt since 2017, and has decontented it a bit, the Model 3 has continued to improve). (on the other hand more creditable Model 3 competitors have appeared, the Ioniq 5 for example looks pretty competitive)

Tesla has absolutely stumbled for pickup trucks though, behind the Rivian and Ford F150 both in terms of launch.

They do a lot of things other EV makers don’t, but that gap is getting a lot narrower.


A friend has that & loves it. And waaay less expensive.

But everyone has an EV now. I hear good things about the Kona.


Major investors have famously been shorting this stock (and losing a lot of money doing so) for many years, as, so far, the irrational Tesla fans have managed to maintain a stock price that’s well above what the company’s fundamentals suggest it should be. It probably will crash eventually but misjudging exactly when has cost a lot of people.

I don’t want Elon to win but I don’t fret too much about short sellers losing, either. Most of them aren’t good guys even if they are betting against a bad guy.


Every inflated stock keeps its value until it doesn’t.


Agreed, but that knowledge is of limited use to short sellers if they can’t accurately predict the timeline of “until it doesn’t.”

Some short sellers will undoubtedly get the timing right and make a lot of money. But up until now most haven’t.


It is pretty fantastic within it’s limits. Like if you rarely drive over the ~250 mile range the “slowest fast charging of any EV” doesn’t come into play (and for example I average maybe 2 trips a year that need any charging to complete, so does it matter that other cars can do in 10 or 15 minutes what it takes the Bolt an hour to do? For me it hasn’t, but if my driving patterns change I could see it as an irritating limit.)

Other things are perfectly understandable, like it has a 10" screen, not a 17" screen, it is also like half to two thirds the price, so that seems like a great ratio.

Other things are totally niche, it is way easier to get the Tesla to leave the HVAC on when parked for an extended period…or while on a charger (there is no way to have the Bolt continue to run the HVAC longer then I think a half hour while on charge except to wait for it to chime and press a button, not ideal if say you wanted to sleep in it), but that isn’t exactly a major factor. Like most people just don’t care one bit about that, and shouldn’t…but the Tesla has like 300 features like that and if just one is a big deal for you, well it is a big deal & doesn’t matter that 298 of them are lame, and 1 is weak sauce, because that one thing that totally makes your life easier is a big deal to you.

I’ve heard good things about the Kona, the Ioniq, even the Mustang, oh also good things about the Kia EV6. Not so much about VW’s EVs (or to be accurate, lots of “oh crap” about them). I’ve heard nothing about Volvo’s.

There are a few companies that don’t have any EVs, RAM doesn’t. I don’t think Jeep does (it has a hybrid), and some of the other smaller automakers. Everyone big does though, at least if you count Honda’s 2024 announcement, and Toyota’s 2023 announcement. Oh, and if you let GM having an EV in one division count as “all GM” (they do have plans, looks like 2023 will be a big year for launches)


It’s like they think “sell” is a dirty word


For me personally the big deal is that Tesla’s many touchscreen features create negative appeal. The very idea of having to go through a touch screen menu in order to open the glove box fills me with a murderous rage, so it’s clearly not the car for me even if the price was equal to or less than the Bolt.


There certainly is something to be said about tactile controls.


Fair enough, but the Bolt has plenty of touchscreen only items like activating the parking cameras while not in reverse. The borderline rage part for me is the Bolt being a GM car has some random GM dashboard components, and one of the is a bank of I think six or eight buttons half of which are unused, why aren’t they mappable to “user selected functions”, or even to three or four things that a random GM engineer on the project thinks would be used a lot.

That is absolutely not to say I hate the Bolt or think I made a bad choice. It is one of the three cars I’ve owned that I have really enjoyed, and one of the two that exceeded my expectations (granted my expectations were “I think EVs are the future, but this is a bad year to actually buy one since everyone has multiple models announced for 2021…”, turns out covid pushed that back a few years!)


My wife feels similarly. I keep pointing out that one can bump the right scroll wheel (thumb position on the steering wheel, for those unfamiliar) and just tell the car to open the glove box.

I’m agnostic on the touch screen vs tactile controls subject. FWIW, the argument for the screen is that it eliminates tons of pricey switchgear that litter the cabins of most cars, thus reducing the overall cost of the vehicle.

(edited for clarity)

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I doubt that the electromechanical release for the glove box is cheaper than a simple manual latch would be. It’s less convenient, almost certainly less reliable, and would screw you over if your battery was dead but you needed to get some important document or something from the glove box.

I recently test drove a Ford Maverick and the simple, intuitive tactile controls were one of the main appeals to me. It’s also one of the cheapest new vehicles available today, so cost savings by putting everything on a touchscreen are probably not all that dramatic.


During the 90s tech bubble, the phrase was, the market can remain irrational longer than you can remain solvent.