Tag: investing
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Highlights from Tesla Q4 2022 earnings report, earning $3.7B 59% YoY and revenue $24.3B 37% YoY.
On January 25, 2023 Tesla announced that Q4 2022 revenue was $24.3B up 37% YoY and GAAP net income was $3.7B up 59% YoY growth. GAAP Earnings per share came in at $1.07, 57% YoY growth. Net cash ended the quarter at $22B. In the shareholder presentation, it mentioned free cash flow is $1.4B in…
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Current yield curve rates indicate recession coming
Yield Curve is a table of interest rates on U.S. bonds at different maturities or loan durations. This data is available from the U.S. Department of the Treasury. The 2023 data is available at https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treasury_yield_curve&field_tdr_date_value=2023 The 1/3/23 the tables looks like this: 1 Mo 2 Mo 3 Mo 4 Mo 6 Mo 1 Yr 2…
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How to not to lose a million dollars
During one’s investment journey, there will come a time when you’ve obtained good wealth. For example, during the pandemic, several companies were solving critical problems the world needed and their valuation went through the roof. Examples of these companies include Amazon, Zoom and Moderna. Zoom helped students continue their lessons with their teachers remotely. They…
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Tesla finished $183.20 up $13.29 7.82% on positive risk/reward comments from analysts on 11/23/2022
Having hit 52 week low, Tesla share prices swing to the positive to finish strong $183.20 up $13.29 for 7.82% gain. Volume was 109,536,709, above the average 80,621,546. Citigroup analyst Itay Michaeli upgraded Tesla from sell to neutral. After the steep decline, his opinion is Tesla is priced reasonably now. He believes Tesla’s financial strength…
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Get rich slow using dividend reinvesting strategy
The dividend reinvesting strategy is one way to build wealth over time with reduced risk. The strategy buys high quality companies in diverse industries that pay a dividend. Companies with excessive cash returns cash to shareholders in the form of dividends. These companies may not grow as quickly but their business is mature and stable.…
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How to calculate intrinsic value of a company with discount free cash flow analysis
One way to value a company is add up all the cash it will produce in the future. This is similar to how someone value a house by adding up the rents the house can collect. After collecting the future cash flow, a small adjustment is needed. The cash generated in the future needs to…
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Use S&P 500 PE ratio to check if stocks are expensive or cheap
2022 has been seen stocks drop double digits from their peak. At its peak stocks were overpriced because there was too much demand. Part of that was from Covid stimulus and part of it was from cash that consumers saved from not being able to travel and spend on entertainment. During this rise, it may…
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Why Stocks drop when Federal Reserve increases interest rate?
Stocks obey the basic economic laws of supply and demand. When demand is high, prices rise but when demand drops, prices go the opposite direction and drop. When Federal Reserver Chairman announced it will increase federal funds rate .75% to 3 1/4% on September 21 2022 and will likely need to continue to increase the…