From my post on Seeking Alpha;
Will Musk Marry Holmes In Orange Is The New Black

Apr. 25, 2019 9:21 PM ET|About: Tesla, Inc. (TSLA)

Summary:
- Worst quarter for TSLA I have ever seen.
- Inventory building and sales slowing.
- Musk may go to jail.
- Elon Musk vs. Elizabeth Holmes, What’s the Difference?

Will 2019 end with Elon Musk getting married to Elizabeth Holmes? These two individuals seem almost the same, as they are both not trustworthy. They both have great ideas but do the numbers make sense. Can he make cars and turn a profit?

I say no, as do many other intelligent people.It seems both Elon and Elizabeth have the right people behind them with money and then took ideas that everybody wanted to believe in.In Elon’s case, the math does not add up. While Tesla cars work, if you can’t build them and make a profit, then they don’t work either. Will they work in cold weather is a whole issue on its own. Have you seen how your Cell-phone works on cold days? What happens when you're going down the highway at 70, and your car shuts off? This issue gets scary real fast as it has too many people already.

I wanted to make the old Porsche 914's myself and turn them into electric cars by remaking the body into a nice style, but the costs didn't add up. I would have done the same as Musk if given a chance. I too would give it a shot if someone gave me aBillion dollars, but they didn't so I didn't ever make the cars. The 914’s were ahead of its time, it got 45 MPG, but people didn’t want two seaters back then. It also rusted badly in the northeast, but the 914’s sold well in CA markets, same as TSLA now. While I do see them in the northeast, they are usually on a flatbed truck going to get fixed which must cost a lot. Reports show it is one of the most expensive cars to get fixed if you can even find a dealer to do it.

His latest announcement of his new car Friday, I bet, it will never be built or sold. He will be out of business by years end, and he will blame the government. That's why he wants to get thrown out of the company so that he can blame others for the downfall. I have no idea where the semi truck is and why he would not have made a pickup truck before the semi truck. The bottom line is the numbers don't add up, he will run out of money soon or the SEC will ban him from the company soon. Eventually when Elon is gone the company will file for bankruptcy, is my bet!The list of stupid things he has done the past year is so alarming including smoking pot and drinking on a pod cast, really! Also saying, "funding secured at $420 a share" really? Saying he is so tired now, that the last year has felt like five years in one. Yes that happens to most people who run their own company at some point, grow up. Really, you had to say that, and he could barely look at the camera. The similarities between Elon and Elizabeth are so striking. Who does not see this, it is clear as day. The fact that Holmes is not in jail, does not mean that she may not go there soon andthe fact that Elon is not either, gives us hope one day they maybe will get married on the last season of Orange is the New Black.

So many smart people think Elon is cooking the books. We agree just the simple fact that they had $4 billion in cash in the bank. There is no interest on that money being shown, they are only earning interest on about $800 million at best. The list of smart short-sellers is endless in this case and while it didn’t work with many names the past few years like Herbalife and WayFair, I think with Tesla they will be proven 100% right this year. The number one sign of a massive fraud is top people leaving, over and over, and here at Tesla you have that in spades.

Look at Space X, I have no idea if they make money, but I know Lockheed Martin (LMT) back in the early seventies had the technology to return rockets, but the costs did not make sense. Maybe the costs today make more sense, but the car company cannot make money unless they raise the prices. Today that just does not seem possible in our market. In fact Elon lowering the prices on them now, shows the demand is very weak. Probably because the quality is starting to drop off and there is nothing worse than a Lemon in the Car Industry.Then Elon said he was closing all the stores last week only to reverse that statement a few days later. Also what is happening day in and day out, people coming and going, TOP people, is just crazy. The costs to produce a car at scale are huge, and if he gets one major recall, that could be the end of Tesla. The car is really for the west and south. Good luck driving that car in upstate NY in the winter, that's a whole different subject.While the story has held up much longer than most people ever thought, many very smart people have been "short " this stock a long time. Their day is coming soon, and I hope they all make huge rewards for pointing this fraud out. Hopefully, other companies make a profit on their cars, as this is good for the environment. Although whatHappens to all those batteries, once they go bad? That is a major issue that no one talks about.With all the crazy stories that go on about Tesla is alone a reason to stay away. Why would you go along with something so risky? Making a profit is the only factor you need to think about. Stay away if you don’t want to “short” it. We say "short" this stock nine ways to Sunday with play money or real money starting now!

If in fact, it did go past $330 again we would cover the “short” period and take the loss. But the upside with put options at the right time could be 5 to 20 times your money. That is the risk/reward worth taking all day long. The 50 or 100 baggers you could have got with options in the week before the SEC’s announcement on Tesla days are over. Since then option prices have ripped much higher, but the reward can still be great.

I am still looking for a wedding by the end of 2019!

Douglas Hughes

HughesInvestmentManagement.com

203-942-5905

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.