Tesla vs Exxon Mobil

I saw a story yesterday that stated that Tesla market cap is worth more than Exxon Mobil Market Cap.

Now I am not enough of an expert (at anything) to tell you if this makes sense, but investors have decided they are more interested in owning Tesla for the future potential and obviously doesn’t think much of the future of Exxon Mobil.

Many things are in play here such as ESG considerations, meaning many funds and endowments can´t own oil companies. The risk to Exxon is rather large as it faces the challenges of low prices, maintaining reserves and transitioning into the future away from fossil fuels are all seen as major challenges.

But Tesla is not without challenges in that other car producers are in the hunt to be the leading electric car manufacturer. In spite of not making any money Tesla is market cap is over $200 Billion. That valuation puts it very close to the valuation of Toyota Motor Company which is currently the world’s highest-valued car maker!

Performance:

Tesla up 204% YTD / Top line revenue 2019: 27.6 Billion USD / Net profit: -862 Million USD / Net Profit 2018: -1 Billion USD / Dividend yield: 0

Exxon Mobil down 36% YTD / Top line revenue 2019: 256 Billion USD /  Net Profit 14.3 Billion USD / Net Profit 2018:  20.8 Billion USD / Dividend yield 7.85%

(Toyota Motor Company: top line revenue 2019: 272 Billion USD / Net Profit: 16.9 Billion / Net Profit 2018: 22.5 Billion USD /  Dividend yield 3.12%)

What is happening over the past week or so is the increasingly discouraging news on the pandemic, especially in the U.S., along with more positive economic indicators from late May and early June are sending mixed signals to investors. Just this morning we received positive news on a possible vaccine for Covid-19, which is lifting equities globally to start the day.

The S&P has 3,150 as a very key level.

Gold struggling to break the highs from yesterday and is taking a break on the back of risk on sentiment.

$1,785/90 key level with support at $1,740 and $1,700/10.

Contact us if you are interested in receiving real time trading signals. In doubt? Check out our track record below!

TickerDate OpenedEntry PriceStopTarget PriceCurrent Price% Change
LONG Austevoll Seafood ASA (AUSS:xosl)2020/06/0276.7572.00SPREAD TRADE78.05+1.69%
SHORT Leroy Seafood Group ASA (LSG:xosl)2020/06/0256.75SPREAD TRADESPREAD TRADE57.66-1.60%
SHORT US5002020/06/2230953095 (WAS 3165)29503115 (STOPPED AT 3095)+-0.00%
SHORT US5002020/06/263020309529503115 (STOPPED AT 3095)-2.48%

Visit our Position Tracker to look at all of our realized trades and proven track record! 
2018: 45 Trades, Hit Ratio 53,66%, Profit +35,87 %
2019:   31 Trades, Hit Ratio 45,16%, Profit +26,97%

– Mark W

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