Tesla As A Long-Term Investment: "I Think If They Solve FSD, Tesla Is A $1000 Stock"

Benzinga

2 months ago

Benzinga's Premarket Prep co-host Dennis Dick talks about his Tesla position in his long-term portfolio.

Transcript

00:00Pablo asked me and multiple people have asked me this,

00:04what do you do in the long-term account?

00:05Are you buying stuff or are you buying stuff?

00:06I did a little bit of nibbling.

00:09I bought a little, like I said,

00:10I've been dollar-cost averaging into Tesla.

00:12Thinking of five-year time horizon,

00:14this is not a trade, so I bought a little bit more again.

00:17I've bought Tesla probably 10 times

00:19over the course of the last six months.

00:20I just buy every week and make a little bit trading,

00:22put a little bit more in Tesla every week.

00:24I've been picking on Tesla.

00:26I sold out of a lot of my IWM long-term position yesterday.

00:31That was one thing I did on the rip.

00:33And the reason was a lot,

00:35Jim Tassone was talking about

00:36that there's just a lot of companies

00:38and they're just crappy.

00:39And this has been underperforming for so long.

00:41I've had the IWM there for a couple of years.

00:43It's just been junk.

00:44I had a good rip yesterday.

00:46I sold right near the open,

00:47so I was pretty happy actually after we sold off.

00:50I still have a small piece of IWM, but it's very small.

00:53I probably would put that back into the queues

00:55at a certain point in time.

00:56Just, you know what, it's just a tech economy.

00:59It's just not a small cap world anymore.

01:01And sitting here, positioning for a catch-up trade,

01:04I just think this catch-up trade,

01:06people have been trying to call for a long time.

01:08It's just not coming.

01:09I did try to buy a little bit more SMCI yesterday,

01:13but then I was like, you know what?

01:14It's just too weak.

01:16So I'm not gonna catch the falling knife here on SMCI.

01:19Down five bucks in this space.

01:21It's just so weak.

01:23And I don't want it to fall.

01:24And Intel has been an epic disaster for me.

01:26I don't want SMCI to become another Intel like that.

01:28I don't think it is.

01:30But I think, you know, if you're sitting here

01:31just trying to catch the falling knife,

01:33man, knives are really hard to catch right now.

01:37What about, and this is a question here

01:39and I've scarred Joe Rabbit, and I'm-

01:41Just before, I wanna keep clarifying,

01:43because this chat, you know,

01:44and Twitter is so short-term focused.

01:48I don't, they keep saying,

01:50Dennis thinks FSD is coming tomorrow.

01:52I don't.

01:53That's why I'm dollar cost averaging in

01:55because I don't know the timing of it.

01:57I'm not buying.

01:58Somebody said, why don't you buy leaps on Tesla?

01:59One, the premiums are too high.

02:01And two, I don't know the timing of FSD.

02:04I think it could be two years from now.

02:06I think it changes everything though,

02:08once he figures it out.

02:09I'm betting that he figures it out.

02:11If he doesn't figure it out,

02:12if Tesla does not figure out FSD,

02:14Tesla stock is going to go lower.

02:16If you're in it, you're betting on FSD.

02:19I think the humanoids is going to be huge too,

02:21but that's a long ways out.

02:22So I'm positioning long-term, short-term.

02:26I have no trade on in Tesla, no trade,

02:29not in the short-term account folks.

02:31It's not there.

02:33It's in my long-term account.

02:35So quit saying that I think FSD is coming tomorrow.

02:39I don't think it's coming tomorrow,

02:40but I think when it comes,

02:42I think it's a game changer.

02:44And I think Tesla's going to figure it out.

02:45I think the key word, I know nothing.

02:48I have no crystal ball,

02:50but I don't want to be not invested in Tesla.

02:53And then they start to really go someplace

02:55where they actually getting closer to figure it out.

02:56I don't know the timing of FSD,

02:58but I think if you have five years minimum,

03:02five to 10 year time horizon on Tesla,

03:05I think you're okay here.

03:07I think it's going to be a really good one.

03:08Five to 10 years.

03:09If you have a five day time horizon,

03:12you're nuts for trying to buy Tesla

03:13and call the bottom right now.

03:15So know your time horizon,

03:16know why you're in the stock.

03:18I am not in it for a trade.

03:20I'm sticking in my RRSP,

03:22registered retirement savings plan in the long-term account,

03:26not for a trade in the long-term account.

03:30Quick technical, I haven't pulled up Tesla in a while.

03:34For you shorter term traders or swing traders,

03:37man, got a triple top here at 203.50.

03:40That's a nine bucks away.

03:42So if you're looking for a sustained rebound, boom,

03:45you got to take out that area.

03:46For right now, I'll say there's decent support at 192.

03:51So if you're in it,

03:52trying to pick a bottom for the swing trade,

03:55I think you cut it at 192 and 180 looks like, man,

03:59because you had all that noise here.

04:01I would, if this came down-

04:02It doesn't look good technically.

04:04It's 175 to 180.

04:06If it came down there and did one of these patterns,

04:09then I might even join you, Dennis.

04:11If it comes down to this area, I might even join you.

04:13And again, Joel, you're talking trading.

04:16Elon Musk said it best.

04:18We need to separate it.

04:19Elon Musk said it best.

04:20If you think Tesla's going to solve FSD, you buy Tesla.

04:23If you think Tesla's not going to solve FSD, you sell Tesla.

04:27This is a binary bet.

04:29I think if they solve FSD, Tesla's $1,000 stock.

04:32I think if they solve FSD.

Tesla As A Long-Term Investment: "I Think If They Solve FSD, Tesla Is A $1000 Stock"

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