WEBSRFR

Yikes! You managed to admit that they are onto something so we can both agree to agree on that

I doubt another carmaker can buy TSLA. Ford's market cap is $54B and GM is at $50B. TSLA is already at $30B so it would be quite an undertaking for them to be acquired by anyone.

If anyone were to acquire Tesla I would want it to be Mercedes but then what will Mercedes do with all the internal combustion engine cars they build and all the engineering and technology they have invested in ICE technology?

Germancar1

You continue to live in the clouds. What do you mean what would Mercedes do with all their ICE technology? The would continue to USE IT. Electric cars aren't taking over anytime soon on such a scale. If Mercedes got Tesla they would no doubt use that tech to produce electric versions of their existing cars, but you're dreaming if you think an electric motor is going to replace the everyday V8 in a S550 or diesels for the majority of buyers.

Again, I never said that Tesla wasn't onto to something, what I said was that they aren't going to replace Mercedes, BMW, Audi, Lexus etc. There is room for everyone.

M

K-A

Hellllll no. Daimler is not great when it comes to mergers and acquisitions. Also, Daimler and Tesla have very different business models, I don't see how this would benefit either. Not to mention, any car maker buying Tesla would result in Tesla probably playing second fiddle to the core brand, which would eventually fizzle it.

Like I said, I think that Tesla is more in the realm of a tech company than the ole' automotive industry. If anyone will buy them, it'd be Apple (which would be like a dream scenario, especially if Musk would get on Apple's board and still be in charge of the Tesla operation), or Google (not a good mix, different ideals, IMO), or Microsoft (please no), etc.

Realistically, I think that Tesla can and will survive on its own, unless they need just too huge an influx of money that their inflating market cap can't leverage and that a massive tech company can provide.

At this point, there's no way that Ford or GM or even Daimler will acquire them, they can't as they aren't that much more valuable than Tesla as it is. Also, Musk holds primary shares so there's no way he'd sell Tesla for anywhere near its current valuation (although he acknowledges the stock is ahead of itself, I'm sure his outlook is far higher than $30 Billion) Unless Tesla fails massive, their stock plummets, and Musk decides to cash out. It'll be very interesting to see how this plays out. If Gen 3 is a massive hit, then that'll mean rapid upward movement for Tesla as a whole.

Germancar1

Yep I agree.

M

genealogyxie

So you're saying I could buy a brand new S63, drive it around for 12 months, and GAIN money from this?
I'd really like some sources please. Autotrader doesn't seem to agree with you and lists them $20k less, which isn't much depreciation, but still something.

If that were true, what am I doing messing around with buying an old E320 or S550 when I could be getting a brand new S63 every year? Gaining 20-40k on a 150k investment in 12 months is pretty good (though not sure if this trend will continue - not sure which countries they're sending them to)
With the ultra low interest rates (even lower than margin rates) I could get multiple cars and rent them out and get sweat dividends!

I know cars in China are 3x more expensive, but I thought they require taxes paid when registered in the country (closing the loophole if you want a valid license plate)
Not sure about other countries but I assume they have similar regulations

The only car I know of that I could drive for (almost) free is any Tesla, several year old Lotus Elises, and decade old Corvettes (all with lower running costs than the S63)