I'm waiting for the (also Musk-led) SpaceX IPO. I hope there is one soon.
Tesla Motors Sets IPO For Week Of June 28
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Re: Tesla Motors Sets IPO For Week Of June 28
#22How does one take part in an IPO? Can I use my E-Trade brokerage account?
I'm just getting into investing, I know its risky times and a risky company, but I think battery tech is the future and Tesla obviously knows a few things here.
Re: Tesla Motors Sets IPO For Week Of June 28
#23This seems insane - these guys have sold, what, 2000 models at the most? And they would be even worse off the instant all of their government subsidies dry up. Their innovation may be remarkable, but the fact is that they make a product which isn't economically feasible without a lot of help from taxpayers doesn't bode well for the long-term health of the company.
maybe oil companies should invest in Tesla. they have billions to spare, it would give them green cred, and act as a hedge for the case where demand shifts from gas to electric powered vehicles.
or as a way to make sure the demand does not shift
Re: Tesla Motors Sets IPO For Week Of June 28
#24Tesla's main competition right now is Nissan with the LEAF. They need to scale up and drive down the price of the Model S and 3rd model rapidly, or they'll get buried by the big players. What they've done is great from a technological standpoint, but they need economies of scale to keep going.
You think a $50,000 luxury sedan with a 200-mile range, more interior room than an SUV, and a < 6s 0-60 time competes with a $25,000 econobox with a 100-mile range and a top speed of < 90mph?
I said the companies are competing, not those specific models.
Nissan's future plans no doubt include putting its electric drivetrains in cars like the Infinity G37/Altima Coupe, its mid-size Sedans, Murano crossover, etc, and they'll have a lot more production capacity (ergo economies of scale) and bigger R&D budgets than Tesla, so they'll definitely end up competing against each other. Nissan also has the benefit of being an established company with a good reputation; it will take a bigger leap of faith for the mainstream public to buy a Tesla, even if their 3rd model costs 30k.
Tesla started at the top of the market and Nissan near the bottom, but they'll no doubt meet in the middle and compete for the most lucrative segments.
Re: Tesla Motors Sets IPO For Week Of June 28
#25Do you guys think it's a good idea to buy TSLA on day one?
I would say no. The strongest analogy between Tesla and a recent IPO I see is Clearwire - similar circumstances, large capital intensive business with some hype behind the technology but no real revenues to back it up.
Getting into an IPO on day one is usually not a good idea unless the company has reliable revenue and there is a reason to expect 20-30+% growth near term (Google, First Solar,etc). Many ipos will look like Clearwire (and for example, American Apparel, Isilon, and to some extent Rackspace etc.), a IPO price which stays steady then a significant drop.
Tesla won't have a reliable revenue increase until 2012 as far as I can tell, which is a long time of stagnation which the market will not take kindly too, IMO.
Re: Tesla Motors Sets IPO For Week Of June 28
#26Do you guys think it's a good idea to buy TSLA on day one?
Yes, as long as whatever amount invested isn't going to cause sleepless nights and you're willing to wait 5-10 years before you sell it.
Re: Tesla Motors Sets IPO For Week Of June 28
#27How does one take part in an IPO? Can I use my E-Trade brokerage account? I'm just getting into investing, I know its risky times and a risky company, but I think battery tech is the future and Tesla obviously knows a few things here.
Contact your brokerage firm and ask what the qualifications are.
Re: Tesla Motors Sets IPO For Week Of June 28
#28How does one take part in an IPO? Can I use my E-Trade brokerage account? I'm just getting into investing, I know its risky times and a risky company, but I think battery tech is the future and Tesla obviously knows a few things here.
If you're interested in participating in an IPO and you have ETrade, I would use this page as a jump off: https://us.etrade.com/e/t/estation/pricing?id=1301050000
Re: Tesla Motors Sets IPO For Week Of June 28
#29How does one take part in an IPO? Can I use my E-Trade brokerage account? I'm just getting into investing, I know its risky times and a risky company, but I think battery tech is the future and Tesla obviously knows a few things here.
If you're interested in participating in an IPO and you have ETrade, I would use this page as a jump off: https://us.etrade.com/e/t/estation/pricing?id=1301050000
Awesome, I found Tesla in the upcoming IPOs section.
Re: Tesla Motors Sets IPO For Week Of June 28
#30Do you guys think it's a good idea to buy TSLA on day one?
I would say no. The strongest analogy between Tesla and a recent IPO I see is Clearwire - similar circumstances, large capital intensive business with some hype behind the technology but no real revenues to back it up. Getting into an IPO on day one is usually not a good idea unless the company has reliable revenue and there is a reason to expect 20-30+% growth near term (Google, First Solar,etc). Many ipos will look…
I'm not familiar with Clearwire, but perhaps another useful analogy would be the stock of Vonage, which IPO'd in 2007 at $13ish I believe. Vonage wasn't profitable up until last year and their stock is at $2.47 as of today's close.