This was an Amazing interview. Loved the ongoing animosity confession of Cramer, he's just blunt.. Elon is not a fan of Cramer and the feeling is mutual. But he loves Tesla stock. This really builds a case for "Cramer is not an Elon Fan boy". - Examining (what would happen if Elon got bored and Left) was especially insightful. You made a great case for the Management that has more or less brought Elon down to Earth and brought predictability to the company. SP500 inclusion.. Cramer Torpedoed that as a Nuthing burger and gave a great Tip it might leave a wake for people looking to buy. Stock Split .. terrific that you both didn't dwell on that, acknowledged the day traders.. slightly and focused on the Long Term investors. Props! for his congratulations to your Bull case "Thesis".. that was a great presentation.
I keep re-watching this video over and over.
It's Stuff Full of a Very good Very in-depth conversation.. and comes off as Genuine. I have no doubt you had talking points, but Cramer got to roam free and momentarily "stump" Rob for a micro-second from time to time.. that was very real. These guys really play the opposite types of investor.. the idealist young investor / and the realist older investor who more often than not says.. "Show me the Numbers".
Cramer brought his Honeywell and IBM and Univac experiences, his college day interviewing Steve Balmer and difficulty in placing Tesla as not a common stock. Those resonated so well with me. He's been around.. he's an uncommon older person who can examine his assumptions.. even After he's been insulted in Public.. curmudgeonly say.. 'Okay this is something Special'.
I "Loved" Cramer challenging Rob with the proposition.. what if Elon doesn't present what the market wants to hear on Battery Day.. something "Business based.. a plan forward to greater Profits".. and gets lost in the Nerdy weeds explaining and getting excited about esoteric "technology".. so very true. Elon is a Nerd.. he's an expert.. he doesn't relate well to people purely seeking profit.
Rob seemed "taken a back" like.. What?
His recovery was golden though.
Just look at "How Much they Could grow.." its the setup.. its look at everything Elon is not talking about.. its everything else. The Potential is 50% growth per year for a Decade with no end in sight. There are no competitors in their class. All the other EV makers are making $100,000 cars in ones and twos. Elon is making $40,000 cars and delivering half a million cars per year. It's like Rob can't see that other people can't see what's right in front of them.
Cramer gets both sides.. the old investor and the young investor.. and the people on twitter who "wish" the world would work the way they want. I think I'm a Cramer fan boy now.
Cramer seemed to pity the Short sellers who keep changing the goal posts hoping for a win. He said they would have to cash out at a higher price.
The Rob Baron interview criticism that Cramer took.. and then fired back.. "They Aren't Selling" what other Pump and Dump scheme do you see where they "Don't Sell".
Cramer (did) leave open the possibility.. the very real possibility.. that even Tesla might not be able to stand against another Covid shutdown wave.. and then it would be a good time to take some profits off the table. But Rob didn't budget an inch.
My opinion is in that event.. if the macro environment gets that bad for Tesla they can simply slow down construction on their plants and "right size" for demand. But the personal value proposition to (any) car or truck buyer will still favor (the cheaper car or truck).. people don't get Teslas are cheaper when buying.. and over their life time.. cheaper fuel costs (electricity is cheaper than oil products).. cheaper repairs (only two things can go wrong, motor and battery.. no transmission) and repair diagnostics can be done for the most part "over the air".. not stuck at a dealership. They also have potentially a longer life than any oil powered car, and second lives as new raw production materials or robotaxis.. or used vehicles in people driven ride hail businesses. Oil cars get used up, break down.. have thousands of parts that wear out and fail due to design flaws, structural fatigue and parts availability.
I have to say Rob's Prediction about Battery day when grilled by Cramer was very good.
Rob predicted Maxwell play will be addressed, but the most important thing will be the "Plan to Scale" total battery production and by proxy the total number of cars produced per year. That's Rob trying to think like an old investor, what's the "Business Plan.." to growth and profits.
Cramer then parried and went on the attack.. how will they increase the range? He called it, "how long will the battery last per day.." which people think about it like a cell phone battery. I laughed but got to hand it to him.. it is a bit more intuitive.
Rob dodged that question solidly.
Rob addressed the lifespan of the battery instead.. a bit off target. (I think) Rob said solidly "It's good enough today" and the overall lifespan is where they have room for improvement. But its complicated because they are trying to improve in so many other aspects of using batteries for energy.
I think I agree with Rob, "range" or "how long per day" is no longer what people worry about, (Tesla Owners don't worry about it), once you get used to driving a Tesla range turns out to really be not a concern. Your car is "filled up" every night at home without going to any gas station or Telsa Superchargers. Tesla Superchargers are used once a year for most people on the family vacation.. its not a big deal. Most people don't run their Tesla down in a single day.. they have more than enough range today.