Vicki Bryan is the CEO of the Bond Angle and gave an amazing view to TC’s Chartcast into how dispassionate bond credit analysts evaluate businesses. Basically, you have to ignore what the CEO says and look at what they do and study the hard numbers. I found her storytelling about Valeant Pharmaceuticals and WeWork riveting. But wait until she gets to Tesla.
TC asked her what her thoughts regarding Tesla were if she applied the same level of critical analysis that she would to any company. Bond analysts are known to be much more skeptical than stock analysts and lets just say that Vicki didn’t hold back.
A couple of things that Tesla investors seem to forget, or don’t want to know. A company can report positive cash flows when they are simply taking on more debt or issuing equity. A company can report revenues without ever actually collecting cash. And a company that starts creating subsidiary companies where they don’t have to report financial details is a huge red flag.
Definitely check out this podcast.
A couple of things that Tesla investors seem to forget, or don’t want to know. A company can report positive cash flows when they are simply taking on more debt or issuing equity. A company can report revenues without ever actually collecting cash. And a company that starts creating subsidiary companies where they don’t have to report financial details is a huge red flag.
Definitely check out this podcast.
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