Tesla Car Sales (Perspective)
Tesla reported 4th quarter sales last Friday, delivering 184,800 cars. They are pushing to finish this year between 850,000 and 900,000 cars. So, how big is that number respectively?
During the 4th quarter of last year, GM sold 771,323 vehicles and Ford sold 539,000 for a total of over 1,300,000.
So as Tesla is moving up quickly, they still have a-ways to go to gain any significant market share. Will their market share continue to increase? I believe the answer is YES.
How about the stock price? It’s trading around 700/share in todays pre-market and the all-time high of 900. The current price sports a P/E ratio of over 1000. GM for perspective, has a P/E ratio of 13.37 and will become an EV competitor in the near future. I do like Elon Musk as an entrepreneur and would not bet against him at this point!
Stocks Move Higher
Last week the Dow Jones inked out a small gain of .25%. The S&P500 moved up 1.16%, the Russell 2000 1.50% and the Nasdaq Composite 2.61%.
Over the pond witness stocks higher as developed market stocks rose .53% and emerging markets up 2.40%.
The US 10 Year Treasury yield calmed down last week finishing with a yield of around 1.70%.
Real Estate Inventory
This morning on CNBC, it was reported the number of homes for sale is around 1,000,000. There are 2,000,000 real estate agents in the US. Wow!
Last month in March, the number of homes for sale decreased by 52% from March of 2020 and decreased 48% in February from a year prior.
If you want to sell, it’s a great time! Low inventory and low rates! The problem is… where do you go?
Last week I had the opportunity to spend an hour with my real estate agent. She mentioned a home in Medford, NJ went up for sale, priced at $450,000. She attempted to make appointments as she has over 15 buyers looking. She called immediately after knowing of the new listing. The owner already had 5 offers sight unseen, well above the asking price, and viewing appointments booked solid for 2 days.
Car Sales setting records. Homes setting records. Wallets lined with stimulus. I hope interest rates can stay low. I can’t imagine the reversal and impact if rates actually normalized.
More $ Coming!
We’ll be learning the specifics of the proposed infrastructure bill introduced by President Biden last week. The bill injects over 2 Trillion into our economy over the next several years along with increasing the Corporate Tax. As of now, I don’t have specific thoughts and comments, however it appears the bill will pass, by reconciliation, and will not be bi-partisan. I’m not surprised as over the years, both Republicans and Democrats alike, have placed us into this divisive position, as they both continue to compete for Power and Money!