The Wall Street General

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Billionaire investor Ron Baron of Baron Capital remains bullish on Tesla, despite the stock falling more than 50% this year. In a recent interview, Baron told CNBC that he expects Tesla to deliver outsized gains, eventually leading them toward a $4.5 Trillion valuation. Tesla's stock will have to reach a price of $1350 to reach that kind of level. Or rise by more than 570-600% Baron has been a bull on Tesla ever since his fund started buying Tesla shares back in 2014 and his personal holdings and his company' add up to a massive $4 Billion holding in Tesla. In addition to that, Baron mentioned that he thinks Tesla stock will be around $500- $600, and in eight to ten years, "it ought to be somewhere around $4.5 Trillion". The math behind Baron's bullish valuation target is solely predicted by Tesla's ability to scale its business over the next decade. Selling about 20 million cars per year. Tesla is on track to sell just over 1 million vehicles in 2022. "I...

 The Oracle of Omaha, Warren Buffett is probably one of the best investors of all time if not the best. He has been the legend or the figure most long-term investors look up to.  Buffett's Berkshire Hathaway posted its Q3 earnings a few days back, and unsurprisingly the company also posted a net loss on their investments. Even though the company posted $7 Billion in operating earnings from their other businesses like insurance, railroads, and utilities, the company reported a $10.1 Billion loss on their investments during Q3 because of the recent market turmoil which has brought the total losses to $63.9 Billion for 2022 till now.  The legendary investor once again told investors again that the amount of investment losses in any given quarter is "usually meaningless." But on a broader view, shares of Berkshire Hathaway have been outperforming the markets this year with the stock just being down by 3% this year, compared to the S&P's   21% downfall. And eve...

A lot of rappers and musicians are known to lose all of the wealth and money that they have ever made in their careers. But Edward Avedisian isn't one of them. Edward is a retired musician from the Boston Pops and he didn't inherit a hoard of cash and he didn't work for a company that gave him some stock options as well. According to an interview conducted by MarketWatch , he was a self-taught investor who read investing-related books and would also read about stocks and markets on CNBC, and Wall Street Journal every day, as much as he could.  Avedisian didn't exactly share his current holdings or investments, but Zacks' stock strategist, Tracy Ryneic believes that he holds some of Berkshire Hathaway, Microsoft, Amazon, and Monster Beverage. The 85-year-old who has given most of his fortune away, despite this year's market volatility, said he is bullish on the markets more than ever and envied those who are just beginning to invest. He also said, "It's ...

If you have been wondering why stocks like Amazon, Meta, Google, Microsoft, etc have been bleeding money out of your pocket, well it is because of their not-so-good earnings. These companies together lost a market cap of $350 Billion combined. Google and Microsoft led the downfall when Google reported $57 Billion in revenue which was slightly lower than expected and their year-over-year growth rate fell to 6% which has been the slowest since June 2020. YouTube's revenue fell for the first time. Google's stock fell by more than 9% on the day it reported their earnings Microsoft then contributed to the downfall when on the same day, the company had reported good numbers but then it was the company's next-quarter guidance that led to the sell-off. Microsoft is reportedly facing margin issues with their services which further decrease investor confidence. The stock fell by 7% on the same day when Google reported its earnings which led to a market downfall that day.  Amazon and ...

Recently, Elon Musk completed his acquisition of Twitter paying a full $54.20 per share which values the deal around $44 Billion. After a haul of 6 months, the deal finally came to a conclusion where both Twitter and Musk agreed to close their deal as a success today.  Musk immediately fired the former CEO of Twitter- Parag Agarwal, the CFO, and other senior members from Twitter, moments after the acquisition. He even fired the person who was responsible for banning Former United States President, Donald Trump's account. Elon paid a visit to Twitter’s office just before finishing the deal in San Francisco where he met a few employees and was seen having a good time there.  The trading of Twitter's shares was suspended for two straight days because of this acquisition and people holding Twitter's stock will be paid a premium of $54.20 per share. The stock last closed at $53.70. Elon Musk says that his main purpose to buy Twitter is to help humanity by building an app called ...

The newly appointed Prime Minister of the UK, Rishi Sunak, and his wife have a combined net worth of $820 Million. This makes them the 222nd richest couple in Britain and this means that they are wealthier than King Charles who is roughly worth $600 Million after inheriting $500 Million from his mother, Queen Elizabeth after her death on September 8. The major chunk of the couple's net worth comes from Sunak's wife, Akshat Murty's $460 Million stake in Infosys. India's second-largest IT & software company. The Citizens of the United Kingdom doubt whether Sunak will be able to deliver his promises to the people because he does not understand what it is like to live under the bare minimum, which is the current situation for a lot of households in the UK as of now because of high inflation and poor control by the government on recent economic turndowns. 

 In the last Q3 earnings call, Elon Musk mentioned that for the first time ever, he sees a potential for Tesla to be worth more than Apple and Saudi Aramco combined. For context, those are the world's two biggest companies worth a total of $4.35 Trillion. The market and many investors see Musk's comment as ludicrous. His exact words were, "Tesla can far exceed Apple's current market cap" he added, "I can see a potential path for Tesla to be worth more than Apple and Saudi Aramco combined. Doesn't mean it will happen overnight or it will be easy but for the first time I can see a way for Tesla to be roughly twice the value of Saudi Aramco" As mentioned above, a lot of investors think that this assumption of Musk is quite crazy but only a few know that back in 2015,  he made a similar prediction  when he said Tesla would be worth $700 Billion by 2025. Tesla ended up being worth $700 Billion by December 2020. 5 years earlier than predicted. Tesla curren...

What is the number 1 factor which affects your success in the financial markets, especially the stock market, you might think it is research, studies, theories, etc. Well, in order to generate good returns over a period of time, you do need to possess good skills in all of the above. Still, the most crucial factor in deciding whether you will be a successful investor is Perception. The good old perception. It is necessary to research, back your company with good reasonings, and have a strong philosophy while investing in it, but more than that it is the perception that will define whether you make money or not Perception in simple words is the way you look at things, your perspective and point of view on certain things. Specifically, in the stock markets, there are two types of investors. Pessimists and Optimists.  When the market dips or even crashes, the pessimists are the ones who panic sell, are usually in fear, and don't invest at all but on the other hand,  the  op...

 Tesla reported its earnings a few days back and while it did show pretty good numbers, its revenues were not up to the mark for the analysts on Wall Street.  Tesla posted a $21.45 Billion Revenue v/s $22.09 expected EPS was $1.05 v/s $1.01 Shares of the EV giant fell by more than 5% after the company announced its results, but they said that the company still expects a 50% average annual growth rate on its vehicle deliveries. In addition to that, Tesla is facing headwind over its year to year benchmarks and because of inefficiencies at Giga Berlin and the strengthening dollar, the sales abroad are being impacted as well. Not to mention the ongoing supply chain issue.  Despite these roadbumps, Wall Street has an average price target of $307 for Tesla and a high of $530. The company still leads the world's transition to EV's and clean energy. 

Netflix, Inc. The world-famous streaming company crushed its earning expectations after it reported its earnings on 18 Oct after the market closed. The company posted an EPS of $3.10 vs $2.13 per share Revenues were $7.93 Billion vs $7.83 Billion  Netflix added 2.41 million subscribers vs 1.09 million The stock was up 14% after hours after it closed on Tuesday. This has been a rough year for Netflix as well, the stock is down a massive 60% YTD thanks to poor earnings in the previous quarter and the recent market downfalls. It was down 65% from its all-time high in October 2021.  This surely brings in more investor confidence, both in the markets and the company as well. The Dow and Nasdaq futures shot up as much as 2% following the company's reports. This week has started off well for investors and they hope it remains the same. Other big tech companies like Tesla, Apple, and Alphabet report their earnings in a few days as well. These crucial days could set the tone for the m...

Of course, it's a matter of worry when we see our portfolio in red and when the markets are down 30% year to date. Yes, it sucks to see your portfolio at shallow levels but guess what you cannot do much about it. All you can do is wait back, invest more, and simply wait for the markets to go up. Yeah, that's pretty much all you can do. Selling right now is probably something that should not be your concern, unless it's an emergency, etc. And all of us investors have already survived 10 months!! 10 months in this bear market, so why not just hold on to a little more. By now you should know that the markets will  always  go up in the long term. They will  always.  Looking at your portfolio or the markets just at a glance works but if you are continuously sitting behind a screen and analyzing and judging where the market is going every single time, then you should probably consider taking some time away. It's really dangerous when you let your emotions come in the way. ...

Q4 has gone off with a rough start. Especially for Investors. The markets started off in the green but then it saw a blood bath on Friday as the US economy reported lower than expected job reports. The indexes fell around 3% each but companies like Tesla saw them falling by 6-7% in one day. Tesla and it's investors saw a pretty rough week because of various factors. Starting off with missed Q3 deliveries, even though the company delivered a record 343,000 vehicles in Q3 alone, it fell behind the Street's estimate of 365,000 deliveries. This was just the start, just after it was discovered that Elon Musk was interested in buying Twitter again, the stock came down the hill and fell by around 3-4%. Then, after the markets went down on Friday, the stock was overall down by 13% in the past week. Wiping around approximately $200 Billion in market capitalisation. Musk tweeted that this past week was quite an intense one for him.                 The stock...

We all have heard of Tesla's affordable and luxury cars, long-awaited cyber truck, and their Optimus robot which was revealed a week back. But do you remember the Semi Truck which they launched back in 2017? well if you don't then this is what it looks like. Pretty huge right? This was unveiled back in 2017 when the man himself Elon Musk revealed the concept model to the world. The production is underway and it is starting to speed up by the end of this October.  This has not been made available to the general public, however, Tesla is still taking up corporate orders.  Elon Musk tweeted that Pepsico (the soft drinks company) will take the deliveries of their semi trucks in December.  Tesla claims that the Semi Trucks will provide a range of more than 500 miles / 804 km on a single charge and in addition to that, drivers or companies can save more than $200,000 over a period of 5 years compared to the fuel consumption they would have done if they were still using regular...

'When In Doubt, Zoom Out" This quote pretty much explains itself, and what better time to understand the importance of it than now!  Times like these often test us with our emotions, patience, and most of all, our behaviour.  And if you feel tempted by these sudden market changes and if you are mentally drained after seeing your portfolio in the red for so long, then it's time to zoom out.  This is when you widen your lens of perspective and focus on the bigger picture. This is when you sit back patiently and wait for the markets to recover. Instead of focusing on the short term, try to look at the long term. The most successful investors have been the ones who have been in the markets consistently for decades. They have gone through various crashes and market downfalls but guess what, they still come out at the top. It may be hard to control your emotions and half of the decisions you make are influenced by those emotions that try to get the best out of you, every single...

The S&P 500 is down 22% year to date and the tech-heavy Nasdaq is down almost 30% this year. So then the question arises, what should you be doing?  Well, the answer to that question is absolutely nothing . Yes, you read that right. Now you may think that doing that sounds absurd but if you switch your lens to the long-term perspective, then the markets are soon going to recover. Nobody knows when, but they surely will. And in addition to that, an investor always just has two options, buy or sell. You can't do anything except that So forget about selling the stocks, especially if they are in the red (if you are a long-term investor) and if you do have additional funds, which you think you probably won't require in the next few years, then do your research, find the companies that make the most sense to you, invest and stick with them.  This is an opportunity like no other. Remember when stocks came crashing down during the 2020 Covid crash? everyone thought it was the end ...

This morning, the markets started off in the red, and they still are in the red as this blog is getting published. A lot of investors tend to get worried or usually get swayed by these market swings which usually keep happening in the short term. And yes, it is quite common and alright to be tensed, and emotionally attached to the markets when they are down 30% year to date and show very little  hope for recovery.  But this is when it gets decided whether you as an investor will be successful or not, market cycles like these are common and if you broaden your perspective and look at all the historical data, you would be shocked to see that even after so many rough years at times, the markets still continue to hit 52-week highs by the time they recover. And yes it's tough, at the moment to hold on and it is quite disturbing to see the way the markets are behaving, but in the long term, if you look at the bigger picture then they will recover.  5 years from today, when you ...

Elon Musk reportedly stood back on his original offer to buy Twitter for around $54.20 per share. Valuing the deal at around $45 Billion. Musk made this offer originally on April 14 and just after 11 days, Twitter accepted the deal, but then on July 8th, Musk backed out of the deal stating Twitter failed to provide him with enough data on the bots and total spam accounts on Twitter.  Twitter sued Musk and then took him a trial to court and just yesterday, Musk proposed the same offer once again. A lot of experts believe this sudden change of mind by Elon happened because he had no other option and he would have lost the case if he kept on fighting against Twitter. Shares of Twitter closed up at $52.00 (22.24% increase) Shares of Tesla closed up at $249.44 (2.90% increase) Everyone awaits more news on this offer, what Elon Musk decides to do further, and when there will be any further development on this situation.