The SEC will freeze distribution (grants or sales) of stock in many fraud cases until the case is resolved. For Tesla, that means they cannot issue more stock to sell to raise capital, leaving them at the mercy of the bond market. Of course, with a junk-bond status rating, that money will be incredibly expensive and it may not be enough for them to continue operations.
I think you're missing the point - all your talk about factory costs and capex are irrelevant; SG&A doesn't include those. Here's a good analysis of how Tesla is in the red from just gross profit and SG&A. This is before R&D, capex, interest expenses, or any other costs. Just the cost of making, selling, and delivering the car (and the related administrative costs required to execute the manufacturing, sale and delivery). It's not a temporary loss - it's systemic. Without a major overhaul in the process (mainly getting SG&A down to below 10% like most other car companies who push the majority SG&A to an independent dealer network), Tesla simply cannot make profit on cars.
SG&A is required expense related to cars, and the fact it's been scaling linearly with revenues for the last 5+ years shows it's an actual cost. Take the gross profit, subtract SG&A. You're at a loss. Right there. And that's not including the debt incurred to build those vehicles. NRE costs like R&D aren't even factored in. Gross profit minus spending on sales and general administration push you to the negative right there. So unless Tesla can sell cars without any selling costs and administration costs - they're losing money.
It's never been explained other than "you don't understand". Where are the numbers, break it down. ALL PUBLISHED NUMBERS say they lose money on each car. Every single set of published numbers. Just link to the numbers that say otherwise. Simple to do - if you could. But you can't - so you fail, again.
Good grief, even the SEC says that Musk is "Charged with Securities Fraud for Misleading Tweets". So you know better than the SEC? Sorry - you're wrong.
So Ivana recanted, no charges were pressed, and no physical evidence. Of course you believe it was rape! Just like you believe Tesla makes a profit on each car they sell! You'll believe anything as long as it validates your world-view, facts be damned! Where are the numbers that say Tesla makes a profit?
You've never provided a link to actual numbers, just hand- waving. Where's the link? What says they made a profit of at least $10,000 on every Model 3? What says they made any profit? Because their published financial statements certainly don't say that...
As described, the book was appended with a statement from Ivana Trump disavowing that she intended to use the word “rape” in its commonly understood manner (i.e., forcible sex without consent):
During a deposition given by me in connection with my matrimonial case, I stated that my husband had raped me.
I wish to say that on one occasion during 1989, Mr Trump and I had marital relations in which he behaved very differently toward me than he had during our marriage.
As a woman, I felt violated, as the love and tenderness which he normally exhibited toward me, was absent. I referred to this as a ‘rape,’ but I do not want my words to be interpreted in a literal or criminal sense.
Oh, you mean that rape that wasn't rape per the person who supposedly made the charge, and which even Snopes says wasn't rape? That rape?
Wait, so Tesla losing money doesn't mean that Tesla lost, in Q2 2018, about $17,600 per car they sold? That just because they're losing money it doesn't mean they're losing money? WTF are you saying here? The financial statements show Tesla losing money. You claim they are not. Which is it?
So Marla? Ivana? Which one charged him with rape? Citation needed... Or is this another way of you distracting from your false claim of Tesla making money on each Model 3 they sell?
Yep. I hold no position in Telsa - I don't buy into cults. But I hate the fact that Tesla (and a few other "tech darlings") suck up massive amounts of capital to fund failing companies, and thus starve many smaller, more interesting startups.
So what financial report shows them making money? Per last quarter's reporting Tesla lost $17,600 per car they made (loss divided by the number of cars delivered). What do you have that says otherwise? Real, hard numbers. Put them up, link them, define them. Because the Tesla filings say you are wrong.
??? Has Melania charged him with that? Is the "victim" not aware of her status? In the meantime, we have Booker openly proclaiming he did what Kavanaugh is accused of doing - and no one cares. Start with the admitted 'rapist' first...
OK, please show the financial report to back up your numbers. Because the financials filed with the SEC say they lose money. Or is this yet another case of Tesla fraud? The reality is - based on Tesla's own numbers - they lost $17,600 per car sold in Q2 2018, and they lost money before accounting for things like R&D or interest (let alone principal) on debt.
So - put up or shut up. What numbers are you using - real numbers, official financial statement numbers - that say they're making $10,000 profit on each car? I'm not remaining willfully ignorant - I'm looking at the numbers, I've asked you for your backing before, and all you ever give is vitriol and silence. Put up or shut up.
So far, his electric cars aren't viable - he sells every single one at a loss. Between the loss Tesla takes, and the Government handout, each Tesla comes with a free $25,000 for the buyer. That's not a viable business.
The SEC has to be very careful here because in punishing Musk for a 10% increase that hurt a few minority shorts, they could spark a 50%+ decrease that would be of far greater total monetary harm to the majority longs.
That's not the result of the SEC - that's the result of Musk's actions. Commit fraud, you get busted and probably removed from leadership of your company - which will probably tank the stock. That's entirely on Musk trying to be cool for his girlfriend ($420 - get it, 420!) and attack the shorts. The SEC isn't responsible for the harm for the longs - Musk is.
Yeah Rei, I get it. I don't own any TSLA and have no position on it. I try to avoid cults - which is really more akin to what TSLA is. If it was still 2008, 2009 - OK, they may be in a decent place. But losing nearly $18,000 per car they sell and rejoicing in the fact, after 15 years of operation, it's much more a cult than a serious company.
Next up: Corey Booker, admitted groper! Why is he even allowed to sit in judgment of Kavanaugh in the first place? Maybe the Democrats believe it "takes one to know one"?
Given the Tesla burn rate, they need access to that capital in the next few months. They cannot let it drag on past November. Stock issues typically have 30 to 90 days requirements on announcement, meaning that if Telsa is burning capital at the rate it's been burning, they'll be out of cash around February 2019. So if they have a 90 day announcement period for more stock sales, they would need to announce by the end of October. Having yourself locked down at that time is basically a death sentence.
Slashdot Mirror
The SEC says your wrong: Elon Musk Charged with Securities Fraud for Misleading Tweets - straight from the SEC.
The SEC will freeze distribution (grants or sales) of stock in many fraud cases until the case is resolved. For Tesla, that means they cannot issue more stock to sell to raise capital, leaving them at the mercy of the bond market. Of course, with a junk-bond status rating, that money will be incredibly expensive and it may not be enough for them to continue operations.
I think you're missing the point - all your talk about factory costs and capex are irrelevant; SG&A doesn't include those. Here's a good analysis of how Tesla is in the red from just gross profit and SG&A. This is before R&D, capex, interest expenses, or any other costs. Just the cost of making, selling, and delivering the car (and the related administrative costs required to execute the manufacturing, sale and delivery). It's not a temporary loss - it's systemic. Without a major overhaul in the process (mainly getting SG&A down to below 10% like most other car companies who push the majority SG&A to an independent dealer network), Tesla simply cannot make profit on cars.
I thought they were due in February? If there are significant bonds due in November, they need to file for a new stock sale sometime by mid-October.
SG&A is required expense related to cars, and the fact it's been scaling linearly with revenues for the last 5+ years shows it's an actual cost. Take the gross profit, subtract SG&A. You're at a loss. Right there. And that's not including the debt incurred to build those vehicles. NRE costs like R&D aren't even factored in. Gross profit minus spending on sales and general administration push you to the negative right there. So unless Tesla can sell cars without any selling costs and administration costs - they're losing money.
It's never been explained other than "you don't understand". Where are the numbers, break it down. ALL PUBLISHED NUMBERS say they lose money on each car. Every single set of published numbers. Just link to the numbers that say otherwise. Simple to do - if you could. But you can't - so you fail, again.
Good grief, even the SEC says that Musk is "Charged with Securities Fraud for Misleading Tweets". So you know better than the SEC? Sorry - you're wrong.
So Ivana recanted, no charges were pressed, and no physical evidence. Of course you believe it was rape! Just like you believe Tesla makes a profit on each car they sell! You'll believe anything as long as it validates your world-view, facts be damned! Where are the numbers that say Tesla makes a profit?
You've never provided a link to actual numbers, just hand- waving. Where's the link? What says they made a profit of at least $10,000 on every Model 3? What says they made any profit? Because their published financial statements certainly don't say that...
As described, the book was appended with a statement from Ivana Trump disavowing that she intended to use the word “rape” in its commonly understood manner (i.e., forcible sex without consent):
During a deposition given by me in connection with my matrimonial case, I stated that my husband had raped me.
I wish to say that on one occasion during 1989, Mr Trump and I had marital relations in which he behaved very differently toward me than he had during our marriage.
As a woman, I felt violated, as the love and tenderness which he normally exhibited toward me, was absent. I referred to this as a ‘rape,’ but I do not want my words to be interpreted in a literal or criminal sense.
Oh, you mean that rape that wasn't rape per the person who supposedly made the charge, and which even Snopes says wasn't rape? That rape?
After hours (when the SEC announcement happened) it's dipped as low at $265.50.
Wait, so Tesla losing money doesn't mean that Tesla lost, in Q2 2018, about $17,600 per car they sold? That just because they're losing money it doesn't mean they're losing money? WTF are you saying here? The financial statements show Tesla losing money. You claim they are not. Which is it?
So Marla? Ivana? Which one charged him with rape? Citation needed... Or is this another way of you distracting from your false claim of Tesla making money on each Model 3 they sell?
So where's the backup to your claim, drinkypoo? You say they are making a profit - where is it? What shows them making a profit? Put up or shut up...
Yep. I hold no position in Telsa - I don't buy into cults. But I hate the fact that Tesla (and a few other "tech darlings") suck up massive amounts of capital to fund failing companies, and thus starve many smaller, more interesting startups.
So what financial report shows them making money? Per last quarter's reporting Tesla lost $17,600 per car they made (loss divided by the number of cars delivered). What do you have that says otherwise? Real, hard numbers. Put them up, link them, define them. Because the Tesla filings say you are wrong.
??? Has Melania charged him with that? Is the "victim" not aware of her status? In the meantime, we have Booker openly proclaiming he did what Kavanaugh is accused of doing - and no one cares. Start with the admitted 'rapist' first...
OK, please show the financial report to back up your numbers. Because the financials filed with the SEC say they lose money. Or is this yet another case of Tesla fraud? The reality is - based on Tesla's own numbers - they lost $17,600 per car sold in Q2 2018, and they lost money before accounting for things like R&D or interest (let alone principal) on debt.
So - put up or shut up. What numbers are you using - real numbers, official financial statement numbers - that say they're making $10,000 profit on each car? I'm not remaining willfully ignorant - I'm looking at the numbers, I've asked you for your backing before, and all you ever give is vitriol and silence. Put up or shut up.
lol, ignore this at your loss...
Musk is pissed at shorts
Musk is a lot smarter than any of the shorts
Which is how Musk ended up charged with securities fraud by the SEC - being smarter than the shorts!
So far, his electric cars aren't viable - he sells every single one at a loss. Between the loss Tesla takes, and the Government handout, each Tesla comes with a free $25,000 for the buyer. That's not a viable business.
The SEC has to be very careful here because in punishing Musk for a 10% increase that hurt a few minority shorts, they could spark a 50%+ decrease that would be of far greater total monetary harm to the majority longs.
That's not the result of the SEC - that's the result of Musk's actions. Commit fraud, you get busted and probably removed from leadership of your company - which will probably tank the stock. That's entirely on Musk trying to be cool for his girlfriend ($420 - get it, 420!) and attack the shorts. The SEC isn't responsible for the harm for the longs - Musk is.
Yeah Rei, I get it. I don't own any TSLA and have no position on it. I try to avoid cults - which is really more akin to what TSLA is. If it was still 2008, 2009 - OK, they may be in a decent place. But losing nearly $18,000 per car they sell and rejoicing in the fact, after 15 years of operation, it's much more a cult than a serious company.
Cool. Then impeach Kavanaugh. Judges can be impeached - why not go that route?
Next up: Corey Booker, admitted groper! Why is he even allowed to sit in judgment of Kavanaugh in the first place? Maybe the Democrats believe it "takes one to know one"?
Given the Tesla burn rate, they need access to that capital in the next few months. They cannot let it drag on past November. Stock issues typically have 30 to 90 days requirements on announcement, meaning that if Telsa is burning capital at the rate it's been burning, they'll be out of cash around February 2019. So if they have a 90 day announcement period for more stock sales, they would need to announce by the end of October. Having yourself locked down at that time is basically a death sentence.