Let's see Tesla's growth rate when they're closer to Toyota's size. And speaking of meaningless numbers, who cares about market cap? How does revenue compare? Toyota is about 3x, I think?
They're literally responding to someone commenting about stock price
Tesla sales growth currently seems limited by their ability to produce, so that's fairly bullish
Market cap isn't meaningless, though. Neither is debt. Market cap should be a function of assets, so presumably if Toyota had as little debt as Tesla it would be ~480b market cap.
Why is Tesla higher? It has a better story (not saying I buy it, but at least I can explain it!):
At one point, Tesla was worth more than: Toyota, Volkwagen Group, Hyundai/Kia, General Motors, Ford, Nissan, Honda, Fiat Chrysler, Renault, Suzuki, Daimler, BMW, Mazda and Mitsubishi combined. (Plus several Chinese manufacturers: SAID, Geely, Changan, Dongfeng).
I'd love anyone to justify that with a straight face.
Well no.. They don't have better self driving prospects. Tesla claimed in 2016 that the driver was only in the seat for regulatory reasons. We're now in 2023 and Tesla is still only level 2, nowhere near autonomous driving.
> Let's see Tesla's growth rate when they're closer to Toyota's size.
Not sure what point your trying to make, though. Smaller, faster-growing companies usually do trade at a premium over their larger, slower-growing counterparts. That's just... kinda how the stock market works?
You can certainly object to the magnitude of the difference between the two companies' PE ratios, but otherwise nothing seems weird here.
