Tesla As A Long-Term Investment: "I Think If They Solve FSD, Tesla Is A $1000 Stock"
Benzinga's Premarket Prep co-host Dennis Dick talks about his Tesla position in his long-term portfolio.
Category
🗞
NewsTranscript
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.