Elon Musk says Tesla (TSLA) is worth $3,000 a share ‘if they execute really well’
Elon Musk told employees that he agrees with Ark Invest that Tesla (TSLA) is worth $3,000 a share “if they execute really well.”
The CEO has often commented on Tesla’s stock price, but surprisingly, it was often to say that the price was too high.
In 2020, when Tesla’s stock was reaching new high, Musk told his millions of followers on Twitters that he believed the stock was “too high”.
It sent Tesla’s stock crashing, but now it is even higher than when Musk made the comment.
Tesla is currently trading at $733 a share and the automaker is the most valuable automotive company in the world at over $730 billion.
Wall Street firms are divided on whether or not the company is overvalued, but a few of them believe that Tesla could be worth a lot more.
Ark Invest is one of them.
Though to be fair, the company is also a large Tesla shareholders through its investment funds.
This week, they released a new note claiming a $3,000 base stock price target by 2025 for Tesla.
Cathie Wood said about the price target during an interview with Yahoo Finance:
“Our estimate for Tesla’s success has gone up. The main reason for that is their market share. Instead of going down from year-end 2017 to today, it has actually gone up fairly dramatically,”
In its valuation models, Ark Invest believes that Tesla is going to deliver between 5 and 10 million vehicles as soon as 2025.
That’s a significant ramp considering Tesla likely will deliver less than 1 million vehicles this year.
The firm is also betting on Tesla delivering a completely autonomous ride-hailing network, known as Tesla Network, that is going to bring in a lot of money with high margin.
In an email to Tesla employee obtained by Electrek, Elon Musk shared with employees Ark’s new $3,000 price target and that he agrees with Ark:
“If we execute really well, I agree with Ark Invest.”
A $3,000 share price would put Tesla’s valuation at $3 trillion and make it the most valuable company in the world.
Electrek’s Take
Since Ark’s new note was an update on their valuation model and price target, it is fair to say that Musk’s email is basically a direct comment on Tesla’s stock price.
He believes that “if executed really well”, Tesla should be worth $3 trillion within the next 4 years.
To be fair, that’s a longer price target timeline than most, but it’s still rare that Musk comments on the stock price positively.
I remember Musk just a few years ago telling employees to “ignore the stock price“.
Now he is literally sending them an email about the stock price. What changed?
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Entertainment
Snoop Dogg becomes co-owner and investor of Swansea football club saying it’s ‘an underdog just like me’
Police are taking no further action over Kneecap’s performance at Glastonbury.
Officers said they had investigated “comments about a forthcoming court case made during Kneecap’s performance” at the festival on 28 June.
However, after Crown Prosecution Service advice, they decided there is not enough evidence “to provide a realistic prospect of conviction for any offence”.
The Avon & Somerset force started investigating the Irish group’s show last month, as well as comments by punk-rap duo Bob Vylan.
It said they were looking at a possible public order incident.
Police said on Friday that the investigation into Bob Vylan’s performance was ongoing.
The London duo were widely criticised – and caused a BBC crisis – after leading on-stage chants of “death to the IDF” (Israel Defence Forces).
Kneecap’s Liam Og O Hannaidh appeared at Westminster Magistrates’ Court in June. Pic: PA
Kneecap posted a photograph on Instagram, which the group said was an email from police announcing the case was being dropped.
They said their packed Glastonbury gig was a “celebration of love and solidarity” and reporting used “wildly misleading headlines”.
Fears over what Kneecap might do or say during the performance had prompted the BBC not to show it live.
The group said: “Every single person who saw our set knew no law was broken, not even close… yet the police saw fit to publicly announce they were opening an investigation.”
“There is no public apology, they don’t send this to media or post it on police accounts,” they added.
The police statement on Friday said they had informed Kneecap of their decision to drop the case.
Read more from Sky News:
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One of the group’s members appeared in court in June charged with a terror offence.
Liam Og O hAnnaidh is accused of displaying a flag in support of Hezbollah, a proscribed organisation in the UK, at a gig last year.
He was released on unconditional bail ahead of a second court appearance in August.
Entertainment
Tomorrowland: ‘Devastating’ blaze destroys main stage at major festival – two days before it was due to begin
A huge fire has destroyed the main stage of a major festival in Belgium – two days before it was due to begin.
Tomorrowland is a dance music event as big as Glastonbury – and David Guetta was due to perform.
Footage showed flames and thick plumes of black smoke engulfing the stage and spreading to nearby woodland on Wednesday.
The fire gutted the main stage
Fire crews attempt to bring the blaze under control
The annual festival in the town of Boom, north of Brussels, is one of the biggest in Europe and attracts about 400,000 people over two consecutive weekends.
It is famous for its immersive and elaborate designs and attracts big names within dance music – including Guetta, best known for tracks When Love Takes Over and Titanium.
Dutch DJs Martin Garrix and Charlotte de Witte were also due to perform, along with the likes of Swedish House Mafia, Eric Prydz and Alok.
Black smoke could be seen rising into the sky
The festival’s website described the creative elements which went into the elaborate main stage.
The theme, described as Orbyz, was “set in a magical universe made entirely out of ice” and “full of mythical creatures”.
Read more from Sky News:
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Organisers said no one was injured in the blaze but confirmed “our beloved main stage has been severely damaged”, adding they were “devastated”.
Spokesperson Debby Wilmsen added: “We received some truly terrible news today. A fire broke out on the Tomorrowland site … and our main stage was essentially destroyed there, which is truly awful.
“That’s a stage that took years to build, with so much love and passion. So I think a lot of people are devastated.”
Spokesperson Debby Wilmsen told reporters ‘a lot of people are devastated’
Despite the fire, Tomorrowland organisers said they were still expecting 38,000 festivalgoers at DreamVille, the event’s campsite.
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