Nowhere. Relatively speaking everything they've done so far has been easy. Can they reach profitable volume production? Few do.
OT: Stock and Investment Thread
- Thread starter RU05
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I don’t agree with that philosophy. For fund managers, they have a mandate to stay diversified to a certain extent and so they have to sell when stocks run up. If you don’t have a personal mandate, you should let the stock run. Any new money that you invest however should be more diversified. Let your horses run. I know many active fund managers who wish they could follow that rule.
LCID will not be a TSLA killer by any means but there will be more than one winner in this EV space. LCID, F, GM and VWAGY have a reasonable chance at being winners as well.
As someone who follows Avis closely and cannot buy it, everyone expected a blowout 3Q21 and mgmt had provided public guidance of that well before earnings. The question with them is that the current environment is not sustainable, 2022 results will be considerably lower but still high from a historical perspective with 2023 more normalized. Hertz has emerged from bankruptcy and will be a fierce competitor along with Enterprise. There was a short squeeze yesterday which added to share's volatility. Avis has offered EVs in the past so everyone should have known that they will offer them in the future. They didn't add much detail or specifics around that. Leaves me with retail trader madness as the #1 reason.
Belly, very happy for you. But please diversify. You won already. Enjoy it!
I own AMD MRVL and INDI.
Been looking to get into NVDA but it never gets to a level where I feel comfortable. Current p/e of $76.
Recently sold INTL. I still think it could be a good long term hold, but still stuck in the mud in the short term.
I really don’t disagree. My statement was that it doesn’t have to be all or nothing decision. I take profits from time to time but really that isn’t often. I wouldn’t ride a stock and retain the full position if it became too large a percent in my portfolio (too large being a personal choice). By way of example, I took positions in Microsoft and Amgen decades ago. I have many more shares now in each and my cost basis per share is single digit or low double digit. I have, however trimmed the positions modestly a couple times—-once to pay off my mortgage and another time rebalance as per my personal investment plan.
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Agree. This is not a winner take all scenario. The media keeps labeling Lucid as a Tesla competitor. At $170K, it's not. Luxury ICE like the Mercedes S-class and BMW 7-series are the competition, but "Tesla" gets more clicks. Tesla's bread and butter are the 3 and Y.
You've got a bigger set than I do. I didn't get in on Tesla until after their "production hell" with the model 3 ramp. That nearly buried the company.I put my kids money all in Tesla early in 2020 pre-split. Bought more for them during the Covid dip. I’ve since sold it all and have had it in Lucid since the summer. Needless to say, I wish I had the conviction Belly had and did this with my money.
Lucid is currently staring at Everest. Same for Rivian, who is currently only able to produce 1 (yes one) R1T per day.
Ford has been producing the Mach-E for a year. Q3 2021 deliveries were under 19K, despite strong demand. At that run rate, they're losing money on every vehicle. That's not sustainable. By all accounts, the Mach-E is a great vehicle. Design is overrated, manufacturing is underrated.
I think you are a victim of the moment here.
Yes Ford is having issues with chips, and that is slowing production, but, as you say, the Mach-E's demand is strong, and eventually the supply will rise to meet that demand. What is not going to happen is Ford running out of money, and stopping production of the Mach-E. There are no long term sustainability concerns.
Disagree 100%, but that's ok. We have a different opinion. I see the auto market changing drastically over the next decade. Mergers, acquisitions, bankruptcies....
I would encourage you to look up what Herbert Diess (VW CEO) recently had to say about VW's long term sustainability.
On a side note, I believe you are invested in GM (ignore this if you're not). Are you bothered by the lie Mary Barra told on CNBC last week? When asked if GM can catch Tesla by 2025, Barra said "absolutely", despite GM's plans to only produce 1 million EVs in 2025.
The witch. The people of Salem, Mass. knew what to do with heretics like that back in the 17th century.
I am invested in GM and no I'm not at all bothered by Bara's opinion.
Down 65% on my puts this morning. So I did what anyone with a gambling problem would do, double down. LOL
Some will probably go bankrupt due to the low margins and eventual financial anchor of their ICE production.
Stocks like Nvidia are rarely on sale. (Last opportunity was in 2019.) Looking at five and ten year charts + have buy-in on the company's thesis moving forward helps me pull the trigger. Sure, mistakes are made, but I usually feel vindicated with blue chip purchases - no matter when. Would I have like to have pulled the trigger on additional NVDA shares in June 2019 in the $30s (split adjusted)? Sure. But very happy to have purchased in 2018 near $70 and in September @ $223.
One way to consider buying into a stock at this price is to dollar cost average your way into a comfortable position. You might even catch a downturn along the way.
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Or just play the whole semi market via SOXX. Less worries about timing.
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SOXX is Morningstar 5 star over 3, 5 and 10 year periods. Has returned 22% per year over 10 years. Not many stocks offer that kind of long-term return. I own SOXX, NVDA, LRCX, ASML, TSM (wavering), & AVGO (good dividend stock).
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Everyone and their mothers, grandmothers, both living and passed knew the taper was coming. It was reasonable and gradual. Well done by the Fed.
Why would companies that are currently profitable selling ICE cars go bankrupt as they transition to higher margin EV? The transition is the bull case for these legacy companies, ie the higher margins(as well as potential multiple expansion due to esg).
Because legacy companies will likely f-up the transition. They will try to be only a little bit pregnant with EVs because ICE pays the bills.
Hell Yeah! Got our lower rates and AMT reforms a few years ago. Increase the cap as well and it will be party time.
Also sounds like the Backdoor Roth is safe.
From what I read increasing the SALT cap will be tied to tightening the AMT rules.
A real estate website buying houses was one of the dumbest things I had ever heard when they announced it. And It’s not as if they were buying right after the financial crisis when prices were rock-bottom.