Thanks, Reuters, for ignoring Tesla’s fat gross retail margin — which, in the low 20% range, far exceeds industry norms — and instead presenting the company as “losing” $4k per car. Your advertisers love it! The blogosphere loves it! Well done.
Now, back to reality:
Even click-seeking journalists surely grasp the concept that Tesla aggressively reinvests in itself, just like profitless Amazon. They know Musk warned of “staggering” spending and relentless growth this year. They’re not that stupid. They’re just feigning stupidity to appeal to stupid readers — and, unfortunately, stupid investors.
Investing in TSLA requires iron cojones to tolerate not only the company’s derring do, but journalists’ dumbing down.