Tesla—why wouldn’t you own it??!!
Jul 03, 2023Good morning! 👋
Did you see TSLA?
I know I’m supposed to be taking some time off this week, but…
…WOW!!
Unka Elon reported 466,140 deliveries and 479,700 units produced in Q2 2023. That’s an 83% jump YoY and EXACTLY why I recommend investing.
People argue with me constantly about companies like Tesla because they want to be “right.”
I’d rather be profitable.
Case in point.
Tesla has returned 112.33% YTD, 1,045.05% over the past 5 years, and 3,553.91% over the past decade. The S&P 500, by comparison, returned 15.91%, 63.71%, and 177.06%, respectively, over the same time frames. Every $1,000 invested in Tesla a decade ago is now $36,539.10 if I’ve done my math correctly... while every $1,000 invested in SPY is a healthy but still far less $2,770.60.
It’s instinctive to want to diversify because that’s what we’ve been taught for several generations—I get it. But the proof, yet again, is that doing so holds you back.
The markets have changed, and that means it’s important to change your thinking, too!
“Diversifiers” will miss companies like Tesla because they are playing not to lose. While they may own a few shares, chances are they don’t have enough to move the proverbial needle, so they fall behind over time... particularly as the markets have narrowed up and Digitalization has become more pronounced. On the other hand, “Concentrators” like Warren Buffett, like Ron Baron, and yes, like us, will pull ahead.
Anyway, the markets are going to trade a shortened session today, so don’t get all worked up if they go up or down. Either way, this is great for smart investors who understand the bigger perspective.
Speaking of which, here’s a brief conversation from earlier this morning with the fantastic Stuart Varney who asked me about a few of my favourite stocks, including TSLA & NVDA, Big Tech, and even Yellen who’s in China talking with her counterparts this morning. (Watch)
Meanwhile…
Happy Fourth of July!
Best regards for health and wealth,
Keith 😊
PS: A reminder... I will be working “light” for the balance of the week but will be in touch if there’s something (like Tesla) that I think merits your attention. Meanwhile, I will be on Twitter (@fitz_keith) and Instagram (keith.fitz.gerald) if that’s of interest—and, of course, I hope it is. 😊
