An excellent video explaining the economical situation of a company operating at a loss: Similar companies that kept burning through cash until they became profitable are: -pets.com, webvan, (oh wait.....)
TSLA seems to have a cult following among lenders and investors and as dealmaker says Elon Musk for most people is Tesla
I think Tesla gets its cult and early adoptor following because it's on the cutting edge, an industry pioneer and they believe Musk can maintain a gap on the competition for decades to come. Plus there's strong synergies with everything else he's doing; battery technology, renewable energies (solar), space rocket technology, space exploration, urban transport development etc. They are investing in all the synergies and the advantage this will give Telsa into the future.
I used to include them in my list of NFLX, TSLA, TWTR but it is now a different kind of animal, because they have found the cloud and profits!
Tesla got a bailout worth hundreds of millions of dollars, subsidies and federal tax incentives .....free handouts ...
How does a tax incentive help a company without profits to tax? And could you name that "bailout", they were a nascent company that hadn't shipped any cars in 2008. I know they did benefit from other companies not meeting fuel efficiency standards and essentially paying them for the fact they overperformed, but that just seems like the most effective way to implement that policy vice forcing Porsche to build and sell a fuel efficient car just to meet a fleet standard.
Thanks for posting. This and some other videos about Musk are helping me a lot with one issue. Originally I thought I would feel an incompentent wannabee as long as Musk lives. Feeling better now