Nextbigfuture has calculated and projected the contribution of Tesla Energy to Tesla financials and approximated share price contribution.
Until earlier this week there was no contribution to the share price. Energy has been profitable but the $300-400 million of gross profit was less than 10% of the $3-4 billion of gross profits.
However, Tesla Energy has increased 132% in one quarter. This contributes nearly one billion toward profits in the quarter. This is significant profit that is increasing quickly. This means analysts cannot ignore Tesla Energy. It must be projected and the projection adds to Tesla stock valuation.
Having Megapack Energy and cars also stabilizes Tesla profits and growth. If cars slowdown then Energy can continue to provide more growth and profits. If cars surge with new car models then Energy will still provide stable profits.
The Full self driving and various AI contributions and lines of business are also near. They could also flip into meaningful contribution in August 2024 orthe fourth quarter.
Tesla Megapack Energy Will Add $200+ to Tesla Share price. Here is the breakdown of the energy business. It will also confirm that Tesla is more than a car company$TSLA @elonmusk @bradsferguson @TeslaLarry @RandyWKirk1 @WR4NYGov @SawyerMerritt pic.twitter.com/40aJHFGsAE
— nextbigfuture (@nextbigfuture) July 5, 2024
I talk about my Tesla Energy breakdown and the confirmed transition beyond "Just Cars" to adding Energy, Adding full self driving, adding robotaxi, adding Distributed AI inference and more. $TSLA pic.twitter.com/tBhrAet0uE
— nextbigfuture (@nextbigfuture) July 5, 2024
Brian Wang is a Futurist Thought Leader and a popular Science blogger with 1 million readers per month. His blog Nextbigfuture.com is ranked #1 Science News Blog. It covers many disruptive technology and trends including Space, Robotics, Artificial Intelligence, Medicine, Anti-aging Biotechnology, and Nanotechnology.
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Thanks, Brian! This is something to consider. With solar panel installations growing rapidly, the demand for Megapacks is ahead of supply for at least another year, maybe two.
The hard part is projecting margins past 2026. Tesla will bring down CAGS substantially when it opens its new lithium refining facility in Corpus Christie at the start of 2025.
The amount of lithium mining from brine (Lithium carbonate) and from spodumine (Lithium hydroxide) has grown by leaps and bounds, and huge new mining operations are just now winding up in the U.S. Additionally, competitors to megapacks are growing at a rapid clip.
All of this means Megapacks will need a differentiator to avoid being driven down to commodity pricing. Teslas access to AI and Software engineers might give it an advantage. Elon has resently spoken about Megapacks being drop, plug, and go. Unlike every other supplier, Tesla is positioning Megapacks to speed up battery farm construction times and reduce costs, as the Megapacks will not require substations to move electricity out of and back into the grid.
This is additional information to also consider…