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STOCK RANT: Archimoto, Tesla and The Big EV Market Delusion?

Archimoto, Tesla and The Big EV Market Delusion?
Image: Arcimoto.com

Arcimoto ($FUV)

Arcimoto $FUV, announced the NASDAQ's approval today to begin listing its shares of common stock on The NASDAQ Global Market (mid cap), moving there from the NASDAQ Capital Market (small cap). This should make the FUV more accessible to investors around the world. (link)

Tesla ($TSLA)

Morgan Stanley's analyst Adam Jones explained why Tesla is a must-own stock today on Bloomberg Markets (video):

Auto investors face greater risk NOT owning Tesla shares in their portfolio.

Canaccord Genuity analyst Jed Dorsheimer raised his price target on Tesla from $419 to $1,071, putting Tesla at around $1T valuation (link).

Binance, the Cryptocurrency exchange, launched tradable stock tokens in Tesla (link).

EV Industry

Rob Arnott and colleagues from Research Affiliates launched a report called the Big Market Delusion, hinting that historically the companies that all grow together in a booming industry are treated like they all win, when they're actually competitors and in the long term only one/few win (link).

We suspect that as EV competition heats up, many companies will fail, as was the case in previous industry booms—whether autos, airlines, or technology—and with time the total value of the industry will recede to more reasonable levels.

As always, nothing in this newsletter is to be taken as financial or any kind of advice. I just report what I see.

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