“Tesla In Turmoil” + BYD’s “God’s Eye”

Tesla's Long-Term Outlook

🚀 Tesla's 10-year stock performance is a more reliable indicator of value than short-term fluctuations like a 5-day losing streak.

💡 The company's new Model Y launch explains the recent reduction in production and delivery volumes.

Autonomous Driving and Competition

🚗 Tesla aims to achieve full self-driving by June 2025, with robotaxi services launching in Austin as a key milestone.

👁️ BYD's "God's Eye" self-driving system, available across all models without extra cost, directly competes with Tesla's Autopilot.

Financial Performance and Strategy

⚡ Tesla's energy storage revenue grew 10x from Q1 2020 to Q4 2024, reaching $3 billion, bolstered by a new megapack factory in Shanghai.

💰 The company achieved its lowest cost of goods sold in Q4 2024, enabling price reductions to boost demand.

Future Plans and Market Dynamics

🏭 Tesla plans to start production of new, more affordable vehicles in the first half of 2025.

🔋 BYD's battery business boasts a 30%+ gross margin, contributing significantly to the company's $1 billion Q4 2024 profit.

• 00:00 📉 Tesla's stock volatility highlights a misguided focus on short-term gains, overshadowing its strong long-term performance amid market speculation and competition.
  • The focus on Tesla's short-term stock fluctuations reflects a detrimental mindset in finance that prioritizes immediate activity over long-term investment strategies.
  • Tesla's stock experiences short-term volatility driven by market sentiment, but its long-term performance remains strong despite recent media narratives of turmoil.
  • Speculation surrounds Tesla's market pressures, with claims of sales collapse and competition intensifying despite ongoing skepticism.
• 02:32 🚗 Tesla's Model Y retooling and CEO Musk's distractions are leading to declining sales and stock value amid rising competition and uncertainty over new technologies.
  • Tesla's Model Y retooling is likely causing a drop in sales and stock value, while CEO Elon Musk faces multiple distractions.
  • Tesla faces declining sales in key markets amid concerns over its core business and competition, while the impact of new models and self-driving technology remains uncertain.
  • The discussion humorously portrays a dynamic where one investor keeps another in check while allowing him to express his views on Tesla.
• 05:00 🚗 Elon Musk's call reveals Tesla's struggles with demand and production challenges, exacerbated by competition and price wars, while plans for affordable models are set for 2025.
  • Elon Musk's recent call highlighted concerns over collapsing demand and potential delivery shortfalls for Tesla in Europe and the US, amid challenges in ramping up production of the refreshed Model Y.
  • Dan suggests that Tesla's reduced production and delivery volumes may be influenced by the global launch of the Mowi refresh, ongoing price wars, potential loss of EV credits, and increasing competition.
  • The ongoing price war in the EV market, coupled with Tesla's lack of a low-end model to compete with Chinese rivals, raises concerns about future stock performance despite potential benefits from automation and political connections.
  • Tesla's recent earnings report highlights plans for new, more affordable vehicle models set to begin production in the first half of 2025, despite concerns over reduced production and the lack of updates on existing models.
• 08:22 🚗 Tesla's robot taxi service may launch sooner than expected, while BYD introduces its free "God's Eye" self-driving feature amid a challenging automotive market.
  • Optimus and Tesla's robot taxi services are expected to launch sooner than many anticipate, despite skepticism from short-term traders.
  • BYD has launched its self-driving feature called "God's Eye" across all models at no extra cost, contrasting with Tesla's paid full self-driving option, amid declining fundamentals in the car business.
  • BYD is developing a range of autonomous driving features similar to Tesla's autopilot, with varying levels of capability across its models.
• 10:45 🚗 BYD plans tiered driver assistance software but can't upgrade post-purchase, raising profitability concerns as it lags behind Tesla in autonomy due to lower pricing.
  • BYD is set to offer multiple tiers of advanced driver assistance software, but unlike Tesla, customers cannot upgrade their vehicles post-purchase due to hardware limitations.
  • BYD's battery business, which is not separately reported, may be financially supporting its automotive division, raising questions about the profitability of its vehicle sales.
  • BYD lags behind Tesla in advanced driver assistance and autonomy due to its lower pricing strategy, limiting its ability to equip vehicles with necessary technology.
• 13:51 📉 Tesla faces its worst margins in five years and missed revenue expectations, yet stock rose amid challenges and potential energy growth.
  • Tesla reported its worst margins in over five years, yet the stock surprisingly rose instead of falling as expected.
  • Current market conditions suggest a potential decline for Tesla, despite temporary support at the 150-day moving average, as fundamentals indicate challenges ahead.
  • Tesla's revenue missed expectations despite record low production costs, but the potential for significant growth in energy revenues from new factories remains promising.
• 16:32 🚗 Analysts warn that Wall Street's cautious revenue estimates hinder market opportunities, while Tesla's upcoming robot taxis and affordable models could signal significant growth potential.
  • Analysts believe that a reluctance to estimate future revenues and profits leads to missed opportunities in the market.
  • Wall Street's cautious approach to estimating revenues leads to missed opportunities, as many wait for concrete numbers despite the potential for significant growth and excitement in the market.
  • Short-term trading strategies prevent modeling potential opportunities until they materialize, despite acknowledging significant upside potential, while current market action suggests a counter-trend move that may present a future buying opportunity.
  • Tesla plans to launch robot taxis and new affordable models in the first half of this year, but the actual impact can only be assessed after these developments occur.

WatchUrl: https://www.youtube.com/watch?v=vl7zjVfbJLM