FCA – Page 1058 – I wish I had more to offer

Fiat Will Effectively Fund Tesla’s German Factory, Baird Says

Fiat Chrysler Automobiles NV’s deal to pool its fleet with Tesla Inc. to comply with stricter emissions rules in Europe is in effect funding the electric-car maker’s upcoming Germany factory, according to Robert W. Baird & Co.

WMS Group acquisition completed by Opteven

Opteven’s acquisition of WMS Group has been formally completed after gaining approval from The Financial Conduct Authority (FCA). Europe’s second-largest Mechanical Breakdown Insurer (MBI), based in Lyon, France, completed its move to acquire the business-to-business car warranties provider on January 8. John Colinswood will remain as WMS Group as managing director and Martin Quail will… Continue reading WMS Group acquisition completed by Opteven

Waymo secures bigger award against workers who went to rival Uber

SAN FRANCISCO (Reuters) – Alphabet Inc’s Waymo said on Thursday that arbitrators had finalized a judgment of $128 million, plus undisclosed legal costs and interest, against two former employees who went to rival Uber Technologies Inc. FILE PHOTO: A Waymo Chrysler Pacifica Hybrid self-driving vehicle is parked and displayed during a demonstration in Chandler, Arizona,… Continue reading Waymo secures bigger award against workers who went to rival Uber

Fiat Chrysler plants in Windsor and Belvidere will idle for two weeks amid slow sales – The Detroit News

Fiat Chrysler Automobiles NV’s assembly plants in Windsor and Belvidere, Illinois, will idle for two weeks this month following a year of declining sales for the minivans and SUVs built in those plants. Windsor Assembly, which produces Chrysler Pacifica and Dodge Grand Caravan minivans, will be down for the weeks of Jan. 13 and Jan. 20, the… Continue reading Fiat Chrysler plants in Windsor and Belvidere will idle for two weeks amid slow sales – The Detroit News

Fiat Chrysler plants in Windsor and Belvidere will idle for two weeks amid slow sales

Waymo reaches 20 million test miles

Industry leader Waymo has reached the 20 millionth milestone. Waymo tests it Autonomous driving for years and has now set a new record. The industry leader has now driven 20 million test miles autonomously on public roads. Waymo Truck and Chrysler Pacifica Testing autonomous vehicles on the public road remains a form of verification that… Continue reading Waymo reaches 20 million test miles

New baby Jeep SUV set for 2022 launch

Jeep has wasted no time in making use of the new partnership between FCA and PSA by starting development on a new ‘ultra-compact’ SUV that will be pitched as a more rugged alternative to the likes of the Nissan Juke and Volkswagen T-Cross. And Auto Express can reveal that it’s going to be offered as a fully electric vehicle, too. Senior… Continue reading New baby Jeep SUV set for 2022 launch

Tesla Is The Most Valuable Auto Company In The History Of America*

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Published on January 8th, 2020 |

by Vijay Govindan

Tesla Is The Most Valuable Auto Company In The History Of America*

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January 8th, 2020 by Vijay Govindan

Barron’s noted on January 7th, 2020, that Tesla had become the most valuable auto company in the history of America. Let me repeat: Not just currently. We are talking about the most valuable American auto company since America was born. Congratulations to Elon, Tesla, and the team for unlocking this achievement!

Tesla beats out the old automaker market cap record held by Ford in 1999, at $81 billion. How valuable is Tesla? After January 8th’s surge, Tesla is valued at nearly $89 billion. Sure, the purists will argue it’s not an inflation-adjusted peak or the largest enterprise value (enterprise value includes equity and debt). Let’s call it a non-inflation-adjusted peak and market cap only. It’s impressive, nonetheless.

Tesla transformed the push for sustainable energy and became the most valuable American auto company within 10 years. We are not talking about high-margin phones. We are talking about a capital-intensive, low-margin, ruthless, heavily entrenched, lobbyist-backed industry.

Another way to note the importance of Tesla’s accomplishment is comparing Tesla with General Motors, Ford, and Fiat Chrysler’s market cap. According to Yahoo Finance, as of 1/8/20, GM was worth $52B, Ford was valued at $38B, FCAU at $25, and Tesla at $85B. Tesla’s value is larger than GM and Fiat Chrysler put together, and very close to being larger than GM and Ford put together. (On Google Finance, a bit different, Tesla is worth more than GM and Ford combined). In fact, Tesla is not too far off from being worth more than GM, Ford, and Fiat Chrysler combined.

As Frugal Moogal and I have speculated over the last few weeks, there are many reasons for Tesla’s surge. One reason that’s rarely discussed is the expected surge in Tesla auto sales over the coming two years. The below chart excludes the growth of Tesla Energy in the next two years, but it attempts to forecast Tesla’s coming auto sales.

My personal forecast.

Noted Tesla bear and Credit Suisse analyst Dan Levy states, “The framework contextualizes the lofty assumptions embedded in the stock – to justify the current stock price one arguably must assume that by 2025 Tesla will grow annual volume to 1.2mn units.” The same analyst raised his 12-month Tesla price target from $200 to $350 in an attempt to move from totally absurd to semi-reasonable.

I expect Tesla to produce 150,000 units in China and produce another 150,000 Model Y this year. As the ramp continues, I expect both to double production next year, joined by production of the CyberTruck and the Berlin factory coming online. Sometime during 2021, Tesla will have produced more than a million vehicles within a year. This is remarkable. I am hesitant to estimate beyond 2021 because Tesla is growing so fast. I don’t consider these super bull numbers, rather numbers based on what is genuinely possible.

*The asterisk in the title is mentioned since everyone is treating Tesla as simply an auto company. I disagree with that simplification, as do many of the writers here on CleanTechnica. Tesla is an energy and technology company, which happens to masquerade as an auto company. This is one reason why Wall Street analysts are completely befuddled. Most of them stick to one industry segment. Tesla crosses multiple major segments. That’s hard for the spreadsheet jockeys to model. What they miss is that the energy and technology markets are vastly larger than the auto market. At its, peak Exxon traded close to $500B in value. Microsoft and Apple are worth more than $1,000B at the moment. For more on this topic, see: “No, Tesla Is NOT The Largest US Automaker Ever.”

Disclosure: I bought back my Tesla shares a few days ago and am long on Tesla cars. The FUD didn’t reach the levels I expected. Don’t worry, I got pilloried hard for buying and selling Tesla from comments in my last post. I expect the same in this one. Keep it up!

Use my referral link to receive 1,000 free Supercharger miles with the purchase and delivery of a new Tesla vehicle, or earn a $100 award after system activation by purchasing or subscribing to solar panels: https://ts.la/vijay59877

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About the Author

Vijay Govindan Vijay Govindan is a Cleantechnica writer part-time. Through his writing Vijay seeks to elevate the realized potential of humankind.

Against human trafficking. Tesla Model 3 LR owner. His claim to fame is Tesla and Elon have commented, liked or re-tweeted an article he wrote with the Tesla community. Just once. 😉

https://cleantechnica.com/2019/06/23/our-new-tesla-myths-page/

#WeChooseTesla, #RenewableEnergy and #YangGang supporter. Long Tesla shares. Has a healthy skepticism of the Q branch of the Tesla investment community. Made it to one $tslaq block list.

Follow him on Twitter @vijaygovindan17. If you read this far, wow, 👏🏽 and 🙏🏽.

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Hundreds of GM temp workers were just made permanent

CLOSE General Motors worker Adarrey “Ace” Humphrey was blindsided Sunday. That’s when his life changed. Humphrey, 27, has been a part-time temporary worker at GM’s Flint Assembly for the last three years. Sunday morning, he and about 250 of his co-workers crowded into UAW Local 598’s union hall. Most thought they were there for a routine meeting. But when the local’s president stepped to… Continue reading Hundreds of GM temp workers were just made permanent

Ferrari joins European auto lobby ACEA four years after spin-off – ETAuto.com

Ferrari is controlled by Exor , the holding company of Italy’s Agnelli family, which also controls FCA and industrial vehicle maker CNH Industrial , another ACEA member. MILAN: Italian luxury carmaker Ferrari has become the latest manufacturer to join the European carmakers’ association (ACEA), the auto lobby said on Tuesday. ACEA represents manufacturers of passenger… Continue reading Ferrari joins European auto lobby ACEA four years after spin-off – ETAuto.com