Stock Watch - Stock Pick — Tesla and cash
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Bright Khumalo from Vestact chose Tesla as his stock pick of the day and Ian Cruickshanks from the SAIRR chose cash.
Khumalo said: "Tesla, they released their production update saying that they delivered 95 200 cars, that's more cars that they ever delivered, for example for their whole year of 2015. This is a new record, apart from the one we saw in the fourth quarter of 2018. This is going in the right direction, this year they are expecting to release between 300 000 and 600 000 cars that they are going to manufacture this year. I'm really excited about this company, no one expected this as there has been a lot of teething problems and over 80% of the cars that they now produce are the model 3s and the model s and x was around 17 000, which is not a lot but there is still demand for these luxury cars. These cars save the world, and I like the management team and I think there is a lot of upside surprises going forward."
Cruishanks said: "I like to be sure of getting my investment back, I like security of capital at the moment so I would go for cash or a money market fund without a long deposit period. I think it is safety first at the moment. I'm not convinced that this rush we are having at the moment based on very low short term interest rates is sustainable.
Khumalo said: "Tesla, they released their production update saying that they delivered 95 200 cars, that's more cars that they ever delivered, for example for their whole year of 2015. This is a new record, apart from the one we saw in the fourth quarter of 2018. This is going in the right direction, this year they are expecting to release between 300 000 and 600 000 cars that they are going to manufacture this year. I'm really excited about this company, no one expected this as there has been a lot of teething problems and over 80% of the cars that they now produce are the model 3s and the model s and x was around 17 000, which is not a lot but there is still demand for these luxury cars. These cars save the world, and I like the management team and I think there is a lot of upside surprises going forward."
Cruishanks said: "I like to be sure of getting my investment back, I like security of capital at the moment so I would go for cash or a money market fund without a long deposit period. I think it is safety first at the moment. I'm not convinced that this rush we are having at the moment based on very low short term interest rates is sustainable.