Paul Cantrell on Nostr: I’ll work that reasoning out a bit: - Musk’s power depends entirely on wealth. ...
I’ll work that reasoning out a bit:
- Musk’s power depends entirely on wealth. Not genius; he’s a nincompoop. Wealth.
- A large portion of Musk’s wealth is tied up in Tesla stock. A •very• large portion.
- His wealth is further dependent on investors believing that he alone is uniquely capable of leading companies into being “unicorns,” i.e. companies with massive future growth potential. His cult of personality is why Tesla’s stock is so wildly overvalued.
- And yes, Tesla stock is overvalued wrt fundamentals, to an absurd degree. Even after losing ~40% of its value since its peak, it’s •still• overvalued. It has a lot of room to fall.
So, what do we do about that?
2/
- Musk’s power depends entirely on wealth. Not genius; he’s a nincompoop. Wealth.
- A large portion of Musk’s wealth is tied up in Tesla stock. A •very• large portion.
- His wealth is further dependent on investors believing that he alone is uniquely capable of leading companies into being “unicorns,” i.e. companies with massive future growth potential. His cult of personality is why Tesla’s stock is so wildly overvalued.
- And yes, Tesla stock is overvalued wrt fundamentals, to an absurd degree. Even after losing ~40% of its value since its peak, it’s •still• overvalued. It has a lot of room to fall.
So, what do we do about that?
2/