Why Tesla At $10 Is Not Far-Fetched

While most analysts and financial journalists completely laughed off Adam Jonas’ $10 worst-case forecast for Tesla stock, what immediately came to my mind was that it was not far-fetched at all. While Jonas’ basis for that price was the company’s heavy debt load and exposure to China, which are both valid risks in their own right, I have been warning about a much larger macro risk that virtually nobody else is discussing: Tesla’s exposure to the U.S. household wealth bubble. I discussed this risk in November in a piece called “Here Are The Hidden Risks That Will Sink Tesla” and I still hold the same view now.













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