Energy Prospectus

Tesla reports record loss. Elon Musk cheered this week as he sent a Tesla roadster into space, but Tesla (NYSE: TSLA) also revealed a record loss for the fourth quarter. The company lost $675 million, with both revenue and spending up. Production problems with the Model 3 continue.

Tesla has never made money and there is little chance it ever will, yet it has a market-cap of more than $52 Billion. Net Asset Value is under $4 Billion.

Three of our Sweet 16 closed today below book value and all three of them are going to report positive earnings for 2017.

Tesla is an example of why fundamentals rarely seem to matter to investors.

Telsa is a bet on Musk--one of the smartest guys on the planet.

Being super smart and having the ability to make money are totally different things. People with the gift of "Vision" often don't know how to get from here to there. They need good teams.

Tesla may indeed make wonderful cars, but can they make enough of them and sell them at a profit? Profit margins on EVs will get very narrow if the major car makers get into the business.