Market seems to disagree. Tesla lost another ~8% market value from the cost cutting measures news.

Face it, Tesla is not a healthy company, a healthy company doesn't need to do cost cutting measures 3 times within like a year and still loses boat loads of money. And this latest round? Head of the company personally review all expenses? This is called desperate measures.

They have enough cash to last only the next 10 months, they are under the gun now to actually prove they can make a profit regularly, not make a profit while taking advantage of a one time pent up demand.

The company is NOT being run responsibly, period. 

At $37b or so market cap, it is still over valued by perhaps 100%. Once that drops to perhaps $18b-20b, Elon would have an out with a buyout price of ~$24b. 

Tesla doesn't make the greatest of products, but they are decent enough that they should be profitable. There is really no excuse for them to keep losing money quarter after quarter for years.

 


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