Musks old tricks aren’t working like they used to and the walls are closing in on him for Tesla.
The latest Roadster demo is a sign that he’s relying more and more on theatrics to sell cars. Ten years ago you could kind of buy that he would have full autonomous driving at some point. Other car companies are far more advanced than him and the Chinese’s are eating his lunch on electric vehicles and beating him in every market but the US.
He pivoted Tesla to robotics and self driving taxis but other companies are ahead of him there as well and he knows it.
He doesn’t have any tech to set Tesla apart and justify its grossly overpriced stock.
He wants to roll it under Space X to ride the only two advantages he has left Starlink and Rockets.
He knows the US government under any administration won’t let either of those two go belly up and wants to link them with his other failed or failing companies.
I dumped all of my risky stocks prior to the SpaceX IPO and reallocated my 401k to bonds. Im about 90% bonds at the moment.
On my active trading account I’m in bonds funds like BIL and SGOV and dividend funds like SCHD. I have some individual stocks in relatively safe industries that should bounce back.
You can never predict the future but it feels like a lot of headwinds on a market who’s gains are concentrated in only handful of companies. I’m ok with sitting out for 12 months or until there is some clarity in the market. I have a major renovation going on right now so spending my cash on property improvements is ok with me.