Only one company in the market is willing to voluntarily sell cars at a loss: Tesla

Excerpted from Whitney Tilson’s latest email to colleagues on Tesla Inc. (NASDAQ:TSLA)

The anecdotal data on Tesla is all over the place – I don’t know what to make of it. One friend writes:

Out of my 30+ friends who’s got a Tesla, a majority of them fall into the following categories:

  1. Tesla had to buy back because of lemon law.
  2. Customer told Tesla he/she would sue and/or pursue lemon law, so Tesla bought back the car pre-emptively.
  3. Car died and Tesla won’t fix, so it’s sitting still like a brick.
  4. Spouse doesn’t dare to drive the car anymore because it tends to break down and require a tow, way too often.
  5. Owner is insanely unhappy with quality / service / repair and/or the sharply rising insurance bill.

Yes, I have a few friends who are happy with theirs.  It’s not 10%, but it’s not 50% either.  Perhaps a third.  They’re happy — for now.  But just wait until it hits them 🙂 …

The post Only one company in the market is willing to voluntarily sell cars at a loss: Tesla appeared first on ValueWalk.