"Elon Musk's Bold Prediction: Tesla to Dominate the World, But I See a 50% Stock Plunge Instead!"

Ladies and Gentlemen, buckle up! Elon Musk, the mastermind behind Tesla, has just made his most audacious prediction yet: Tesla could become the most valuable company in the world, surpassing the combined market capitalization of Apple, Nvidia, Microsoft, Amazon, and Alphabet. That's right, folks! Musk is talking about a $15 trillion valuation, which is more than the combined value of the top five companies today. But let me tell you, I see a different future for Tesla's stock. I predict a 50% decline or more. Let's dive into why!



First, let's talk about the elephant in the room: Tesla's core business is struggling. Passenger EV sales, which account for almost 79% of Tesla's revenue, dropped by 1% in 2024. That's not good news, folks! Musk's once-optimistic forecasts of 50% annual growth have been dampened by increasing competition and softening demand. But Musk isn't worried; he's got his eyes on the prize: autonomous vehicles and humanoid robots.

Musk believes that autonomous vehicles are the future, and he's betting big on Tesla's Full Self-Driving (FSD) software. FSD Version 13 is currently in beta mode, and the results are impressive. Cars using this version are involved in one crash per 5.9 million miles driven, compared to the typical American driver who crashes once every 700,000 miles. Musk expects Tesla vehicles to run entirely on unsupervised FSD in several cities by the end of 2025. That's a bold claim, but it's not without merit.

The Cybercab, Tesla's new robotaxi, is another key part of Musk's vision. This fully autonomous vehicle will run entirely on FSD software and won't come with pedals or a steering wheel. Musk envisions a massive ride-hailing network for these Cybercabs, earning revenue 24 hours a day. Cathie Wood's ARK Investment Management estimates this could be a $14 trillion opportunity by 2027. That's right, folks! A $14 trillion opportunity!

But the real game-changer, according to Musk, is Optimus, Tesla's humanoid robot. Musk is more excited about Optimus than any other product in Tesla's history. He believes it has a thousand times more uses than a car, making it a versatile product that can be sold into various markets. Musk envisions a future where humanoid robots outnumber humans by 2040, with Tesla manufacturing them at a cost of around $20,000. The production ramp-up is expected to grow fivefold every year, eventually reaching 100 million annual units. In the long run, Musk believes Optimus could generate north of $10 trillion in revenue. That's right, folks! A $10 trillion opportunity!

But here's the thing, folks: Tesla's stock is extremely expensive. With a price-to-earnings ratio (P/E) of 190.7, it's substantially higher than other tech giants like Apple, Nvidia, Microsoft, Amazon, and Alphabet. If Musk and his team fail to deliver meaningful progress on platforms like FSD and Optimus over the next year, Tesla's stock could face a significant downside. I'm talking about a 78% drop just to trade in line with the average P/E of those five stocks. That's a potential 78% drop, folks!



So, what's the bottom line? While Musk's vision for Tesla is ambitious and potentially transformative, the risks and uncertainties are significant. Tesla's core business is struggling, and the company's stock is extremely expensive. If Musk and his team fail to deliver on their promises, Tesla's stock could face a significant decline. I predict a 50% decline or more. So, do yourself a favor, folks: Stay away from Tesla's stock until we see some real progress on FSD and Optimus. Don't miss out on this opportunity to protect your portfolio!