Tesla's Current Valuation. Assuming Pandemic Lockdown Remains For Two Years

Dear Reader,

Tesla went on, defied local authorities and opened up its Fremont factory again for business.

Let's assume the pandemic economic lockdown remains for around 2 years. This means Tesla and all other large automobile manufacturers will see their plants either halted or crippled severely for two years. Assuming this is the situation, what is the intrinsic worth of Tesla in the next two years.

If the coronavirus disease COVID-19 pandemic lockdown is kept on for two years, I think Tesla is worth around 30 billion USD in the next 2-3 years. Just for comparison Tesla's current market capitalization is around 148 billion USD as estimated by public stock markets.

If the coronavirus pandemic economic lockdown continues for around 2 years, other major automobile manufacturers like Volkswagen, Toyota, BMW, Daimler, Peugeot could see their market capitalizations fall between 30% to 70%. Simply because their revenue and respective net profit could fall by also around 50% in such a situation, as a possible pandemic lockdown will basically severely constrict their vehicle production abilities.

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Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blogposts on this blog and posts on social networks.

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Respectfully yours,

Petar Posledovich