Just wondering what you monkeys think about Elon Musk's nutty call that by 2025 Tesla will have a $700 billion market cap comparable to Apple's current situation. I think that Musk is a genius, but he should probably tone down statements such as this on earnings calls, or talking to investors altogether. He's way too optimistic about the potential for his company.
I would put the likelihood of Tesla becoming the next GM or Ford as about 1-2%, which is basically what he's saying they will accomplish. Jim Cramer's been harping on the failed earnings call this morning as well. I hate to say it, but I partially agree with Cramer's thoughts pertaining to the call. I personally think that Musk should stay on as CEO, but should defer the majority of investor/analyst engagement to the CFO and try to conduct an earnings call that mirrors normal companies.
In my opinion, the only way that TSLA becomes as big as he thinks it will is for gas prices to climb, the US to continue to push better emissions requirements, nat gas/other fuels to remain non-existent in the auto world, and for all of the items discussed in the article below to remain true (10% profit margins, 50% yearly sales growth in perpetuity, etc.). Basically, the perfect storm of variables. Possible? Yes. Likely? About as likely as Bruce Jenner winning a gold in decathlon next year in Brazil.