As a car company, Tesla’s actual value should not be anywhere near its current levels. Maybe, we are categorizing Tesla in the wrong industry; we should think about Tesla as a battery business and not a car business . Tesla’s batteries are not sufficiently better then others to warrant the current valuation, even on optimistic foresight. In August of 2016, Tesla announced a new car battery with a reported range of only 315 miles. If Tesla someday invents transformational batteries, then it will cease to be a car company and will become a battery company.

Source: Forbes April 16, 2017 01:52 UTC