We need to talk Tesla | TSLA Stock.

wow we have a lot to talk about

regarding Tesla we're going to talk

price targets evaluation we'll talk

earnings recession what's going on in

South Korea and some updates on musk

first though I want to announce that on

December 9th this is a really special

opportunity I am going to be able to

invite some of you to the stock exchange

both inside and outside so 4 P.M closing

bell mark your calendar December 9th if

you are a course member there is a form

in Discord that you can click on under

course member announcements and you can

enroll to actually come inside of the

building if you're not a course member

we'll be doing a meet-up outside or if

you don't get in we'll be doing a Meetup

outside so December 9th New York Stock

Exchange and really excited so stay

tuned or watch on TV that's gonna be

really fun so Tesla first of all uh Big

Wall Street bear just came out and

actually moved their sell position on

Tesla to neutral which even though their

price Target is only 100 176 dollars is

a big deal and one of the reasons we're

seeing this sort of shift is well in

their words they're suggesting that the

year-to-date pullback has balanced out

their near-term risk reward basically a

fancy way of saying hey we think a lot

of the excess fat of the valuation is

gone and now there's potentially a

moment of upside uh to come now one of

the reasons people say oh look look at

Justice evaluation now it's not actually

that bad anymore is because when you

look at the 2022 earnings estimates for

EPS you're actually at a valuation now

of under 50 uh that is a p e ratio of

under 50. and if their growth rate is 50

you're at a PEG ratio of under one which

is really really incredible but if you

look at 2023 estimates which are

basically the forward 13 month estimates

now your valuation actually goes to

under 30 on a p e ratio multiple this

this that's actually pretty freaking

incredible uh for Tesla so some really

neat upside there personally I've still

got my 550 price target for it I'll talk

about why I think Tesla's price has been

so depressed in just the last month for

example Tesla's down 20 percent there's

a special Catalyst for that while the s

p is rallied at six and a half percent

so a little bit of pain here uh but so

we'll also talk about sort of my

thoughts on earnings recession but I

want to hit this piece of news first and

that has to do with a Tesla South Korea

Elon Musk is now considering South Korea

as a top candidate for a new gigafactory

specifically for batteries and not only

for Batteries but also as a way to

diversify from Shanghai think about the

protests that are happening at Foxconn

that's causing Apple to have to delay

some of its iPhone shipment capabilities

and the last thing we want is Shanghai

to get locked down again there's a lot

of pressure on Tesla to use their excess

cash to do a stock buyback but what if

Shanghai gets shut down for all of 2023

and Tesla would have some substantial

problems ahead of it now it's got plenty

of cash it's got cash flow even with

Shanghai it had essentially had

operating cash flow although it was near

break even without Shanghai when you

look at the Investments they were making

in Berlin and and um at Austin Texas uh

but look the last thing we want is

another shutdown in Shanghai knock on

wood on that but see what's actually

kind of neat is an investment in South

Korea could be pretty dang brilliant for

the inflation reduction act what's

unique about South Korea is that we have

a a trade agreement a free trade

agreement with South Korea that was

entered into March 15th of 2012. That's

The Ides of March I'm a big fan of dates

by the way and not actually like dates

with women because the only dates I go

on are with my wife whom I've been with

forever but also the Black Friday date

which is in two days make sure you take

advantage of the 60 off coupon code any

program that you join will get you in to

the raffle just fill out that form one

once you've join keep in mind you get

lifetime access to all the lectures

we've got a bunch of new lectures

dropping on Friday we got the elite

Hustlers course coming out on Monday

we've got the five million dollar

trading challenge starting we've got new

lectures coming for stocks and Psych the

real estate the property management

courses no you you all should know this

by now nobody works harder than me and

my goal is to make sure these products

are amazing so I'm doing a nice end of

the year revamp to really help add value

and next to you I'll be adding more

lectures as well I just keep adding more

content that's my goal provide more

value so South Korea is pretty unique

not only because we have a free trade

agreement with them but that actually

then enables us to take a full advantage

of that 7 500 credit for Batteries

manufactured in South Korea or a region

uh or country that qualifies for

inflation reduction act and Energy

Credit rules which require that uh these

these batteries come from countries with

which we have a free trade agreement

which China's not now what's unique

about Korea is they already export

thousands of Kias and Hyundais GM's got

a plant in Korea they also export other

Optical equipment fuel Machinery to the

United States think Samsung there are

six largest a trading partner South

Korea is also really interested in

growing the battery charging Network

within South Korea so they can push more

of a sustainable energy a platform and

and plan and a Tesla could really be a

win-win relationship for South Korea see

my biggest belief is that what you need

is Tesla to get their act together at

Giga Austin that's uh Giga taxes right

get their act together at Giga Berlin

maximize the potential production there

once they figure out the model and

perfect it copy and paste it Indonesia

India uh you know South Korea more in

South America now of course the

inflation reduction act has kind of

moved that needle from maybe countries

like China where we have trade tariffs

and not necessarily free trade that's

again what a tariff is after all and

move that over to free trade countries

and I believe that once the model is

ready to be copy and pasted Elon Musk

just needs a pace Pace Pace Pace paste

and that is going to be a gorgeous

opportunity to deploy that cash War

chest that Tesla has which is a really

really big deal for increasing

production now of course uh fud over

demand will never go away for example

Tesla just reduced prices in China they

also came out with a new Treasure Chest

referral style system to where when you

refer people to get a Tesla or buy a

Tesla uh they could win a belt buckle a

Model S stroller a custom home Chargers

things like that there are reports now

that in the first three weeks of uh

November we only saw 50 000 orders and

expectations were higher than that and

so some people are a little fussy about

that Tesla China has responded and said

no this is fake news we don't have a

demand problem Elon Musk has regularly

said that obviously if you believe that

there's going to be a demand problem

with Tesla's you probably just don't

want to invest in Teslas you're probably

also one of those people who looks at

all the recall articles and actually

thinks that thousands of Teslas get

recalled all the time when the reality

is there have been 19 recalls this year

and they get fixed via a seamless

over-the-year update that installs at

night while you're sleeping it's it's

pretty ridiculous I actually tweeted

that and they got like four or five

thousand likes follow me on Twitter by

the way if you haven't yet I real need

Kevin but uh look I will tell you you

know I mentioned this earlier uh that I

would that I would tell you this why is

Tesla suffering so much look Tesla's

suffering for one simple reason in my

opinion Twitter that's it elon's really

gotta relax with his attitude on Twitter

and he's got a strong attitude on

Twitter okay let me give you an example

of what I mean and remember Tesla

declined 20 of last month while the S P

500 went up six and a half percent right

after the Twitter Act was a acquisition

and the anticipation of that has led

Tesla to suffer I'm going to talk about

earnings recession as well in a moment

but I'll tell you people are so deeply

questioning Elon musk's management style

at Twitter that Tesla has really just

now become a hedge for Twitter and it's

a free Hedge for Twitter investors that

is if Elon Musk screws up at Twitter and

needs more money breaks the piggy bank

of Tesla Rob's Tesla shares by dumping

them on the market and taking that money

basically and throws that money into

Twitter to save it he has said himself

he sells Tesla stock to save Twitter

those are his own words now can you

fault him for that no I mean he's got a

new business venture is that what's

leading to a lot of pain for Tesla stock

of course because there's so much drama

about what Elon Musk is doing over at

Twitter but I will say he probably needs

to relax with his attitude like here's

just an example Business Insider posts

this uh this article here Sam bankman

freed reportedly owns a hundred million

dollar stake in Elon musk's Twitter and

then he goes false also so Business

Insider is not a real publication just

give up I mean like okay it's one thing

to say false but like the aggressive

opinion not really necessary in my

opinion especially when you jump over

here and you look and you say you know

you look at the actual article

spokespeople for Twitter and FTX did not

respond to a request for comment so it's

like you know they like they they

reached out to you to ask you if this

was true they're just reporting on the

rumor and they give you all the details

in the article you know I I know the

headlines says reportedly owns 100

million dollars taken maybe that's what

people are upset about but like I think

if Elon Musk just toned back the

aggressiveness a little bit he'd be a

little bit more CEO like and then he can

actually align better with institutional

investors see institutional investors I

think are sitting on the sidelines I

mean you've had Dan Ives who's been a

big Tesla bull moved to the sidelines on

Tesla he actually no longer calls it uh

his sort of like uh deal of the month or

stock of the month he's removed that a

lot of this because it's hard to

Advocate buying Tesla when there's so

much drama going on with Twitter elon's

adding fuel of the fire with his left

versus right thing uh and and I know

some of it is Justified but as a CEO you

have to remember that if you piss some

people off those people go to their

institutions and their hedge fund

managers and they're like I will take

all my money out of your company if you

support this Elon Musk guy they could be

you know like super super devout

Democrats or super devout Republicans

who knows it just takes one thing to

piss them off so I don't know like I

think Elon would just be best served

shut the f up on Twitter man that's it

in the meantime go do what you got to do

with Twitter I have faith in Elon I

think this is a buying opportunity for

Tesla because it's really Twitter fud

that's dragging down Tesla I also think

that and I I like I've said it before I

think Tesla will do very very well in

the recession uh that I know the stock

performance the last you know year to

date here hasn't been great because it's

about 57 so that might seem ridiculous

but what I've always said is that I

believed Tesla's EPS would outperform

other companies and I think over the

next three to four quarters as long as

Shanghai doesn't shut down you're going

to see exactly that come to fruition uh

yeah I know fundamental analysis

sometimes takes patience but there's

nothing fundamentally bad about Tesla

right now if anything the fundamentals

in my opinion are just improving the

only risk could be that demand falls off

a cliff in my opinion in my opinion if

demand falls off a cliff Tesla valuation

will continue to fall it will be very

very bad so I would not invest in Tesla

if you think they're not going to be

able to fulfill uh you know all of their

deliveries because there's not enough

demand I would not invest in Tesla then

if you think there is more demand than

production capabilities for the next few

years

Tesla's probably a really good bet and

even though I'm a licensed financial

advisor and I've got educational courses

on building your wealth this is just in

my opinion I want to be very clear it's

not personalized Financial advice for

you but what is a suggestion is that you

check out that 60 off coupon code make

sure you sign up for that bell ringing

event on December 9th again you could

either you're what you're invited to

meet outside we'll probably do a little

meet up around 4 30 outside or fill out

the form for the raffle to come inside

the actual Stock Exchange and if you

sign up for the courses you got plenty

of time to be part of that raffle thanks

so much for watching we'll see you next

one goodbye