The Investor Channel on $TSLA (Nov 6, 2026)

Now we move on to Tesla. Prepare yourselves well, we have strong opinions about it. The stock started the week at 406, then declined throughout the week. Tesla's stock rose slightly more than 4% today, but closed the week at 359.

This comes as the company bids farewell to its Cybertruck, which generated a lot of media buzz when it was announced, and in my opinion, when it was announced in late 2019. I think part of this is down to Tesla, and part of it is out of their control, as the COVID-19 pandemic and other factors hampered the launch of this truck.

When the Cybertruck was announced, it was priced at less than $40,000, with a range of up to 500 miles. As many know, after the Cybertruck was delivered to customers in 2023, its price more than doubled, reaching nearly $100,000 for a fully equipped truck.

However, its range does not reach 500 miles. In fact, I think maybe 280 miles, or 100%, you could get a range of slightly more than 300 to 325 miles.

I now own one of these pickup trucks, and I believe it is without a doubt the best and safest vehicle I have ever owned. In fact, the problem with the Cybertruck is that once you drive it long enough, it feels like you're driving a Model Y, like a Toyota Corolla.

It's extremely cheap. The control, the driving, the weight of the doors, everything looks cheap.

Therefore, the decision to discontinue production of the Cybertruck, as well as the Model X and Model S, two more expensive cars that can cost as much as $100,000, $70,000, $80,000, or even $100,000 or more at Tesla, in favor of self-driving taxis that are only allowed to operate on a limited scale in a very small number of US markets, is a grave mistake by an automaker that has failed to design the platforms that consumers demand.

Consumers have been demanding a low-cost Tesla, which we've discussed here on the channel, although I think renting a Model 3 or Model Y for $299, $399, or $499 is among the lowest possible prices for an electric car in the United States.

But Tesla completely failed in the luxury car category; a three-row SUV and a truck that didn't look completely out of place with the rest of the cars on the market. A car that is completely specialized in terms of price, capabilities and design, they failed at everything.

And now they are turning to smart taxis, which, as you can see, are in San Francisco, Austin, Texas, parts of Florida, Chicago, parts of the Pacific Northwest, and possibly New York, although I don't think they will allow many of them to run on the streets there, at least in the near term.

This is a major failure for Tesla in the automotive field.

Tesla now only competes with Honda and Toyota, i.e., cars in the same price range. This is not an area where you want to compete, especially if you are Tesla and have a price-to-earnings ratio that exceeds 100.

Furthermore, Tesla is promoting its Full Self-Driving program that costs $99. What I talk to people who have never bought a Tesla is that they can barely afford the monthly payments of $299 to $499, plus an additional $99 per month for full self-driving.

Do you know what Cybertruck, Model S, and Model X owners didn't care about? An additional $100 per month for full self-driving. You won't feel this amount if you're able to buy a car of this standard.

Therefore, Tesla will reduce the number of customers who can afford the $100 price tag.

On top of all that, you are discarding valuable human training data from a driving experience perspective. It is true that smart taxis will use artificial intelligence, self-learning and all these illogical things.

But ultimately, what is valuable in the world of artificial intelligence? We learned that from human data, whether it was written texts or spoken words, and all those types. They are extremely valuable, and they are getting rid of them at Tesla.

I think this is a huge mistake, although I thought the Cybertruck was a specialized vehicle. It was a commercial failure in every sense of the word. They overstated their promises when they launched it in 2019.

They encountered some bad luck with regard to the COVID-19 pandemic, rising prices, inflation, and all these things that negatively impacted its success. But you are getting rid of the only luxury car the company sells.

So when my Tesla car leases expire in about a year and a half to two years, I will no longer own a Tesla. I will no longer be able to drive the Model Y. I can no longer drive a Model 3.

Once you drive a Cybertruck, you feel like you'll be crushed like an insect if another car hits you. This is a feeling I don't want for my family. So, here I am, back at Mercedes-Benz.

Now, Elon Musk, who is undoubtedly at the forefront, I believe he spent a quarter of a million dollars or more—excuse me, a quarter of a billion dollars—on the Texas election. What I found really interesting, and perhaps not receiving enough media coverage in conservative circles, is that they lost power almost entirely, they had a president at the end of his term, and they received a strong slap in the face from American voters who categorically rejected everything that happened there.

Politics is important, but ultimately, we saw how major technology companies came under attack from the Trump administration. It was one of the best-performing sectors during his first term from 2016 to 2020.

In fact, Big Tech companies suffered under President Biden, and then got much closer to him this time. She will immediately return to cozying up to the Democrats. Elon Musk will have to stick to this line more than anyone else, but I think he will do his best.

Tesla shares closed below their moving averages. For this reason specifically, I do not recommend investing heavily in stocks that close above or below moving averages. Tesla has experienced this fluctuation intermittently for several weeks.

The question now is: Will Tesla make an acquisition deal with SpaceX, and how will this deal end?