Tesla the company
"We think Tesla's an auto company." – Adam Jonas, analyst for Morgan Stanley
Obviously
they are not just a car company
And they design their own factories, and hire the best and brightest. And I left off one segment... lithium refining. They need lithium for their batteries, and there wasn't enough of it being done, so they took it upon themselves to build their own lithium refining plant! Why? Their Mission Statement: To accelerate the adoption of sustainable energy technology (for the good of the people and the planet).
And where it says "OTHER BRANDS" for the VEHICLE CHARGING segment, we're talking about Ford and GM vehicles! Both Ford and GM asked Tesla if their EVs could use Tesla's charging infrastructure. If Tesla's number one goal was profit, they'd say 'no' so their proprietary charging network could be a moat... only available to Tesla EVs, and with such a big advantage, Tesla would sell more EVs than anyone else. But profit is Tesla's number two goal; their number one goal is to accelerate the adoption of EVs, so they said 'yes'. And pretty soon all the other EV manufacturers making EVs for sale in North America will be adopting the Tesla charging standard (and they have), making it a much easier decision for people to change to an electric vehicle (because the for-profit third-party charging stations suck).
(And by-the-way, on December 26th 2023, Adam Jonas of Morgan Stanley, who was quoted above as saying that Tesla was just "an auto company" has finally seen the light and now says, "In our opinion, Tesla is far more than an auto company." About time they caught on.)
And even as a company, Tesla does things differently...
With Tesla, there are no meetings just of the Engineering
Department.
All departments are at all the same meetings, and all departments are
located near each other.
This integration between divisions results in increased efficiency and
productivity,
and allows for innovation. It's called synergy, and most other
companies do not do this.
The culture at Tesla is very different from all other car manufacturers,
and companies in general.
It's the difference between "We do things our way" and "All
for one and one for all!"
And this is evident in the products made by Tesla compared to the other
EV makers.
And who is responsible for this culture at Tesla? Its CEO, Elon Musk.
Since Tesla is
not just a car company,
what is Tesla's potential valuation?
But what could
all that look like going forward?
Remember, the chart below is not showing revenue.
So when you see the auto segment declining,
that's not revenue from the auto segment that's declining,
that's the percentage of the total company that auto makes up.
Auto revenue will continue to climb, but the AI portion
of the company
will eventually dwarf the auto and energy segments (and
energy will eventually
be equal to or bigger than the auto segment, as shown in the lower right).
And there are tons of charts and graphs with tons of numbers that went
into creating the chart below. It is not merely an "artist's conception".
Today, Tesla has an $800 million dollar market cap*,
with 90% of its business coming from the auto segment.
In 2030 it could be a $3+ trillion dollar market cap,
with the auto segment playing a small role.
* "Market cap" refers to the total value
of all of a company's shares of stock.
It is calculated by multiplying the current stock price
by the total number of shares owned.
The more shares that are bought, the higher the stock price, and the
higher the market cap.
