Tesla Inc (TSLA)

He thinks Musk will hang around Washington no longer than end-June, then will return to work. Cars make up 70-80% of company revenues, which will change. They lead in gen AI. Next year, though, agentic AI and robotics will be the new theme in tech. Musk promises 20,000-30,000 Tesla robotics will be sold next year. Robots are used in car factories, but will be used one day in homes for housework.

People misunderstand the power of Tesla as a tech company. At these prices, the car business' sales could be cut in half and he doesn't know how much lower shares could go.

Highly controversial and polarizing name. Big hit recently, but that's after a big run last year. Overvalued as an automotive company. Massive brand destruction by Musk. 

But if you're looking at it for robotaxis, deserves a different valuation; essentially a call option on that future. How confident are you? You have every right to be skeptical, as they haven't delivered. Underlying architecture has changed, and they have a shot at getting there. Wait to see what happens at the demo in a few months. If they fail to deliver (again), stock will go lower; if they make progress, stock will rerate and you should consider buying for the long term.

Sales in other parts of the world are really slowing. For example they are down over 70% in Germany and Australia even though EV sales are up in Germany. Elon Musk is unpopular and is also spending a lot of time in Washington instead of running the company. The stock is at about half its value from its all time high but is really just giving up this gain and is back at its baseline in its five year chart. Elon Musk says that there are big gains ahead.

Old resistance becomes new support. So what we're seeing now may, may, MAY be support (note the repetition ;)  There may be a bounce, but a couple of days is not enough evidence that the market's starting to forgive whatever it was they didn't like about it. Until that happens, why risk it? He'd wait and watch closer to his 3-week timeframe to confirm the bounce.

It finally reached undervalued levels, which should lead to a big bounce. During recent selling by retail investors, the stock has been showing aggressive professional buying. Seasonality starts this time of year. Also, LW's cycle forecast points to a rally, based on history.

The ones that are nice to King Trump. He'd hope that TSLA and AAPL would escape additional tariffs on China. 

Except for TSLA, the other Mag 6 have come down to very reasonable valuations. For example, AMZN's trading at a discount to WMT, which makes no sense. GOOG is trading at 19x earnings. Thinks AAPL growth will be double digit. This is your chance to buy quality companies at reasonable valuations. See his Top Picks.

People think Elon's been hanging around the White House a bit too much, taking his eye off TSLA. Elon's done a great job building out and leveraging this clean-energy company. More of a trading stock. 12-month price target of $410.

Significant footprint in NA, Europe has taken a backseat, still pretty strong in China.

It's neither a falling knife nor soaring rocket. It's a fantastic tech company, but EVs aren't selling around the world. It is a car company, but in the long term a tech company. Boy no more than a small position and see if it comes down.

Is -11% the past month. He trades this constantly. This is more volatile than most names. Looking forward, he is positive their power generation and autonomous robots. Likes it long-term. 

Though he remains bullish tech, he is not optimistic about Tesla, given tariffs on graphite, which is essential to EV batteries. Musk won't like what he sees about these tariffs, because it will result in a margin squeeze.

He'll own it as long as Musk is in charge. The company put up soft quarterly numbers after the bell but gave a terrific forecast for 2025.

It reports Wednesday. Last time, they badly missed numbers, then had one of the biggest runs ever. It's like an AI ETF.