A decade later, a $ 5,800 passenger in a new electric car company would have turned an experienced or lucky investor into a millionaire. Or, in the case of Brandon Smith, an initial investment of $ 10,000 in 2017, along with some additional small purchases along the way, worked.
Earlier this month, Smith celebrated his “TSLA-naire” status in a tweet:
Smith, who doesn’t even own a Tesla TSLA,
vehicle, is one of the countless fans who have sworn eternal devotion to Elon Musk and, so far, have been generously rewarded for it.
“I don’t earn six figures and I don’t know anything about put options and options,” Smith told Bloomberg News in a recent interview. “I just bought and insured it all the time. I never sold a single share. “
Tesla’s shares have gained nearly 700% this year, gaining a boost by joining the S&P 500. But a 2020 blockbuster is just another chapter in the volatile journey for surprising returns.
While Tesla bulls continue to ignore pessimists, others, like Wolf Richter from the popular Wolf Street blog, which points to this “quadruple WTF chart of the year” as a warning sign, continue to alarm that momentum and high valuation can ‘ Lastly:
However, if Tesla longs had heard the doubtful ones along their incredible journey, they would not be in the position they are in today: savoring their newly minted “TSLA-naires” status. Bloomberg used this chart to gain some insights into this journey:
So $ 5,800 a decade ago is worth $ 1 million now. Perhaps even more surprising is that $ 127,600 a year ago reached that amount, as Tesla rode five consecutive quarters of profits and a lot of hype to new heights. At the last check, Tesla was trading on the green, while the Dow Jones Industrial Average DJIA,
High-tech Nasdaq Composite COMP,
and S&P SPX,
they also increased in Thursday’s shortened trading session.