Just a quick update today on Tesla. And Tesla, if you don’t know has been in the news a lot, and not in the news because of a lot of things they’ve done. But because of what their chairman Elon Musk has done. So, you know, Elon Musk, as you probably know by now, bought Twitter, and now he’s taken Twitter, private. Now he’s allowing more free speech, in my opinion. And I’m on Twitter. So, I see more speech, I don’t see a lot of hate speech, you know, I hear all these stories about how there’s all this hate speech now. And people are leaving, but I don’t see that? Maybe I’m just on a different feed or something. But I mean, I see more people being outspoken, and more people speaking out against censorship, which I did witness over the last couple of years. But I don’t see more hate speech.  

And so, there’s a multi-tiered thing that I just want to give you my opinion on. And I’m a big owner in my hedge fund of Tesla. I believe Tesla is a phenomenal company. And I believe it is destined for some really great things. And you’ve probably seen my videos on Tesla. But just briefly off the top of my head, I’ll tell you, not only the cars, the cars are a small part of what they do, but they are a critical part of what they do. Their car sales are increasing by leaps and bounds. There are also incentives that are being built into the new stimulus package, the inflation reduction at which is doesn’t have anything to do with inflation, except for increasing it, but those things are in there. And they’re giving electric vehicle buyers, certain incentives, and some of them may not qualify for Tesla, depending on when this is all said and done. But the more expensive cars are not supposed to get as much of an incentive, things like that. So that may affect them. But you know, they may adjust it, or Elon may adjust it.  

So, the move toward electric vehicles is a trend that we’re not going to stop, I’m not sure it’s a practical trend. But so, we got that then, because of the cars, there’s automated driving, which is not here yet, but it’s coming. And you know, these cars go like a million miles before they have a crash. And that’s way better than you and I do when we drive. So, when you when you pile in that and then you say, “okay, fetch me my car,” which the Tesla’s can do, they can, the car can come around and valet park itself and bring it back to the front of you. And you can get in from there like a valet. That’s pretty cool.  

Now let’s start to bolt on the other things to that autonomous driving, may be able to replace Uber. So, you might have a car. And if the car is going to sit eight hours at work, maybe that car could be automated, it can drive people around during that period of time. So now your car becomes a revenue generator, or maybe those that car is leased to you and it’s able to be used. That’s an incredible thing. I don’t know when that’s coming. But it seems like it’s really farfetched. But things happen a lot quicker with technology. All those miles that are being driven by all the people that are driving Tesla’s all goes back into their database. So, they get all this information about Tesla driving habits, accidents, more information about how to improve safety and things like that. Thereby being able to create an insurance company that they know the data, the driving data from this these millions of Tesla drivers around the country. And so, they know their habits, they know that their cars can prevent auto accidents. And that’s a profitable thing. That’s pretty cool. Nobody ever talks about it anymore. 

Now we get away from what Tesla does as a car company. And we look at what they do as a as an electricity producing company. So, they have these Tesla solar cells, they have the power wall, which works with your car to charge it and hold batteries and battery power from the solar panels, things like that. Then we look at what else Tesla is doing, or at least what Elon Musk is doing. He’s got Twitter now, he’s got SpaceX, which is blanketing the world in internet. And so that means more people are going to be coming into SpaceX and the to the internet, and more revenue profit generated from SpaceX. So that’s something that nobody’s talking about. But he’s got this other company called the Boring Company, which makes these tunnels underneath the ground. These are all dynamite things that he’s doing. And he’s actually doing most of them, the automated driving, all that kind of stuff. Some of its working. Some of it’s not turned on yet, but it’s coming. And so, if you look at Tesla as a longer-term opportunity, which I do, there’s no reason for Tesla to be going down. It’s gone down about 50 points in just a couple of weeks. And it’s at its 52-week low of right now. It’s about 189. This week, obviously a 52-week low, pretty lousy. If you’re looking at it, but nothing fundamentally changed. Here’s what’s changed. Tesla or Elon Musk bought Twitter.  

Now he’s being billed as this right-wing guy and so these woke companies like Pfizer and a few others. I have a whole list of them, are leaving Tesla as advertisers and which is to punish him because they don’t want to advertise because he’s now a right winger or something. He’s pretty much an independent, moderate, he’s always voted Democratic. And he’s kind of in the middle. If you look at his views, and I watch him on Twitter, he’s not radical. He’s not. He’s funny, actually. And so, like, all that is a bunch of crap. So, he’s going to lose some of those woke advertising companies. But he’s also reinstituting, this blue checkmark thing, which was really only available to some elite people, that paid a lot of money for that blue verification check mark. Now he’s making it available to everybody. And if you want to get rid of the bots, and all the fluff and all the junk on Twitter, that is, you know, not real people. And it’s, you know what it can be deemed hate speech, because it’s infiltrated by the Russians, or whatever conspiracy theories you want to have buy it. Now he’s going to be charging $8 a month. There’s a lot of users on Twitter, so if he can get half of them to pay $8 a month, think about the revenue stream that is going to create with $8 a month, and it’ll probably go up down the road. But for, you know, 96 bucks a year, you now have the ability to search better, you’ll have the ability to get rid of all the junk that’s in your Twitter feed, all the bots and all that are hitting you and have a better feed a better product, which will bring more advertising revenue.  

So Twitter is, well yes, it’s in the news. And while that’s a reason, quote, unquote, for people to be selling, I think these woke advertisers and maybe the woke traders in the world corporations are trying to drive Tesla down by shorting it teaching them a lesson. But at some point, those shorts start to get overwhelmed by a lot of people who believe in Tesla, people like me, people like the millennials, people that are Tesla owners, and they start to buy back the stock. And when they start to buy back the stock, the shorts get hammered. And when the shorts get hammered, they get squeezed. And when they get squeezed, they have to buy their short back otherwise it’s going to keep losing money can go up forever, in theory, right? And so that’s going to create, if I’m right, an acceleration to the upside on Tesla. Now, this is not financial advice. This is my opinion on Tesla. I’m an investor in Tesla not buying any more selling and more doing anything with it. I’m just looking at this going. Why is the company down like 5% a day for the last several days, for no reason, like nothing, you know what has changed. There’s some locked down COVID stuff going on in China. And so maybe fewer people are going to be buying fewer, not a lot fewer, but some fewer are going to be buying cars because they’ve been locked down. Maybe the factories are going to be closed for a couple more weeks this year. So, they’re going to have a little bit less production in China. Maybe that’s possible, we are going into a recession.  So, when nothing fundamental changes, by the way, it’s going up here now as I speak, when nothing fundamental changes on a company, don’t freak out. I don’t freak out. You shouldn’t freak out. But you should do your homework and decide if what I’m saying is right for you. I don’t know it’s right for me right now if something fundamental changes. I’m going to react I’m going to make a make a fundamental change with what I have. But right now, I don’t see much going on with Tesla. So, I’ll just sit back and watch and we’ll see what happens.