Friday, 19 January 2024

Buy and hold TSLA

 

Tesla tops the list of growth in cars sold last 8 years

BUY and HOLD:

Tesla (TSLA) is the big buy and hold for the decade. It’s absolutely not, for me at least, a trading stock. Not one to buy on dips and sell on surges. It’s to hold. For your life. To give to your kids and your kids to give to their kids. It’s one for the ages. 

That’s partly because it’s the new Apple. We’ve held Apple (AAPL) stock for a long time and for us it’s been a huge gainer. As for millions around the world. But you had to hold on to it. Look what’s happened to the share prices of AAPL and TSLA over the recent five years: 


Plenty of mountains and valleys in both stocks. If you’d tried to time the Buy and Sell, you’d go crazy and not do any better than just holding. In fact rather worse. I know this from personal experience, as I’ve kept a record of when we’ve looked at selling, but didn’t sell. We’d have been worse if we’d sold and rebought. As it is, we have a gain of 1,800% on when we initially bought the stock. 

Look at these returns:

Comparing five years and comparing the period from the floating of TSLA (July 4 2010), to today, both have given better results than AAPL. TSLA Compound Annual Growth Rate of 63% vs 37% for AAPL over 5 years and 42% vs 24% over 14 years. (By the way, all of these figures are huge and way above the average for the market).  

That’s something. I wouldn’t worry about the ups and downs, or the recent falls. It’s part of the pattern and it’s overall a strong growth story. 

TSLA like AAPL:

Apple used to make just desktop computers. Then it made laptops. Then invented the iPod. The big breakthrough with iPhone, which changed the whole telephone landscape. Then the iPad and then onto software like Apple Music, and the App Store. Apple now makes so much of its money from the software side and on licensing, an on charging monthly fees. 

Tesla too is changing, updating and inventing new products. It starts with a fully electric car, now the most popular in the world and the safest. Now it’s released the Cybertruck which motor experts are saying is a major game changer. I think it’s like the iPhone for cars. Then it’s robots, with the Optimus and Tesla also has Self Driving Software in Dojo, which it can sell to other companies. Tesla uses its own AI to drive the development in all of these. 

So, in ten years Tesla will be very different from just an EV car company. It will be a multifaceted company, in the AI sector, with cars, robots and who knows what. 

I don’t think there’s a stronger recommendation for any stock than to say it’s the new Apple. 

In fact TSLA is going to outperform AAPL. Because Tesla still has its Steve Jobsin Elon Musk. 

Musk is Jobs on steroids. 

ADDED:

There’s a heap of Tesla vids out there. I won’t try to give a reasonable coverage, just some that I’ve been on:

Tesla Bulls:

Tesla Bears:

... and about a million other vids on Bull and Bear sides.... 

In particular YouTube: “Cybertruck”, the latest model. 

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