Tesla's Fundamentals Are Broken — but This Volatility Play Still Works

The $1.6 Trillion Market Cap That Runs on Story, Not Numbers

🚨 Gold’s Next Move May Not Be What You Think 🚨 Geof Smith goes live at 3 p.m. ET today to explain why China may be manipulating gold and silver — and the No. 1 gold play he’s watching no matter what happens next [Tap here to join] Tesla's Fundamentals Are Broken — but This Volatility Play Still Works Tesla (TSLA) fundamentals are ugly.  Operating margin is weak, profit margin is low, revenue and earnings growth are barely there and earnings-per-share (EPS) trends are moving down.  Yet TSLA still has a market cap around $1.6 trillion. That disconnect is the whole story right now. It’s a story stock. Belief in what it could become consistently outweighs what the numbers actually show.  Historically, Tesla runs in cycles: narrative buildup, monster deliveries, then back to narrative mode.  Right now, we’re deep in story mode.  Quarter-over-quarter revenue has dipped since Q4 2024, net margin sits at only 3% and net income is declining, while gross margin shows some pickup The Pattern: Story, Monster Deliveries, Repeat Valuation doesn’t break because the narrative drives the stock.  Optimus, Tesla’s robotics initiative, can override fundamentals.  TSLA trades with a trailing price-to-earnings (P/E) over 370 and a forward P/E of about 192.  Even without fundamental improvement, a strong narrative or breakthrough could easily double the stock. Tesla moves on belief, momentum and timing — not just the numbers. Volatility is high, with realized swings around 38% and an average true range (ATR) of about $4, making it a tradable name for options.  When the story heats up — robotics, full self-driving, battery news — the stock jumps.  When the story cools or delivery numbers disappoint, it pulls back.  The pattern is predictable in an unpredictable way, which is exactly what makes it tradable. How I’m Thinking About Trading It I don’t trade TSLA like Apple (AAPL) or Microsoft (MSFT).  I trade it like what it is: A high-volatility, story-driven momentum play where fundamentals barely matter.  Risk? Absolutely.  Opportunity? Undeniable if you understand the rhythm.   ___________________________________________________________________ Glad to have you in the Crew, Nate Tucci Tucci Trades and New Money Crew Follow along and join the conversation for real-time analysis, trade ideas, market insights and more in my official Telegram channel! Important Note: No one from the New Money Crew team or Tucci Trades will ever contact you directly on Telegram.  *This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.

🚨 Gold’s Next Move May Not Be What You Think 🚨 Geof Smith goes live at 3 p.m. ET today to explain why China may be manipulating gold and silver — and the No. 1 gold play he’s watching no matter what happens next [Tap here to join] Tesla's Fundamentals Are Broken — but This Volatility Play Still Works   Tesla (TSLA) fundamentals are ugly.    Operating margin is weak, profit margin is low, revenue and earnings growth are barely there and earnings-per-share (EPS) trends are moving down.    Yet TSLA still has a market cap around $1.6 trillion. That disconnect is the whole story right now.   It’s a story stock. Belief in what it could become consistently outweighs what the numbers actually show.    Historically, Tesla runs in cycles: narrative buildup, monster deliveries, then back to narrative mode.    Right now, we’re deep in story mode.    Quarter-over-quarter revenue has dipped since Q4 2024, net margin sits at only 3% and net income is declining, while gross margin shows some pickup   The Pattern: Story, Monster Deliveries, Repeat   Valuation doesn’t break because the narrative drives the stock.    Optimus, Tesla’s robotics initiative, can override fundamentals.    TSLA trades with a trailing price-to-earnings (P/E) over 370 and a forward P/E of about 192.    Even without fundamental improvement, a strong narrative or breakthrough could easily double the stock.   Tesla moves on belief, momentum and timing — not just the numbers.   Volatility is high, with realized swings around 38% and an average true range (ATR) of about $4, making it a tradable name for options.    When the story heats up — robotics, full self-driving, battery news — the stock jumps.    When the story cools or delivery numbers disappoint, it pulls back.    The pattern is predictable in an unpredictable way, which is exactly what makes it tradable.   How I’m Thinking About Trading It   I don’t trade TSLA like Apple (AAPL) or Microsoft (MSFT).    I trade it like what it is: A high-volatility, story-driven momentum play where fundamentals barely matter.    Risk? Absolutely.    Opportunity? Undeniable if you understand the rhythm.   ___________________________________________________________________ Glad to have you in the Crew,   Nate Tucci Tucci Trades and New Money Crew   Follow along and join the conversation for real-time analysis, trade ideas, market insights and more in my official Telegram channel!   Important Note: No one from the New Money Crew team or Tucci Trades will ever contact you directly on Telegram.    *This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.

ABOUT US:  We believe that the opportunity for financial literacy and freedom belongs to all people, not just those who already have years of investing experience. Nate Tucci Trading provides an array of educational services and products that will help you navigate the markets and become a better investor. Trading is made simple through our online forum full of trading techniques to give you the best tools to kick-start your investing journey. We offer collaborative webinars and training; we love to teach. No matter the opportunity, we bring together a strong community of like-minded traders to focus on analyzing market news as it’s presented each day. DISCLAIMER: FOR INFORMATION PURPOSES ONLY. The materials presented from Nate Tucci Trading are for your informational purposes only. Neither Nate Tucci Trading nor its employees offer investment, legal or tax advice of any kind, and the analysis displayed with various tools does not constitute investment, legal or tax advice and should not be interpreted as such. Using the data and analysis contained in the materials for reasons other than the informational purposes intended is at the user’s own risk. DISCLAIMER: TRADE AT YOUR OWN RISK; TRADING INVOLVES RISK OF LOSS; SEEK PROFESSIONAL ADVICE. Nate Tucci Trading is not responsible for any losses that may occur from transactions effected based upon information or analysis contained in the presented. To the extent that you make use of the concepts with the presentation material, you are solely responsible for the applicable trading or investment decision. Trading activity, including options transactions, can involve the risk of loss, so use caution when entering any option transaction. You trade at your own risk, and it is recommended you consult with a financial advisor for investment, legal or tax advice relating to options transactions.  Please visit https://prosperitypub.com/terms-conditions/ for our full Terms and Conditions. Unsubscribe This email was sent to ahmedwithnour@gmail.com by Prosperity Pub 101 Marketside Ave, Suite 404 PMB 318, Ponte Vedra, Florida 32081, United States Prosperity Pub

ABOUT US:  We believe that the opportunity for financial literacy and freedom belongs to all people, not just those who already have years of investing experience. Nate Tucci Trading provides an array of educational services and products that will help you navigate the markets and become a better investor. Trading is made simple through our online forum full of trading techniques to give you the best tools to kick-start your investing journey. We offer collaborative webinars and training; we love to teach. No matter the opportunity, we bring together a strong community of like-minded traders to focus on analyzing market news as it’s presented each day. DISCLAIMER: FOR INFORMATION PURPOSES ONLY. The materials presented from Nate Tucci Trading are for your informational purposes only. Neither Nate Tucci Trading nor its employees offer investment, legal or tax advice of any kind, and the analysis displayed with various tools does not constitute investment, legal or tax advice and should not be interpreted as such. Using the data and analysis contained in the materials for reasons other than the informational purposes intended is at the user’s own risk. DISCLAIMER: TRADE AT YOUR OWN RISK; TRADING INVOLVES RISK OF LOSS; SEEK PROFESSIONAL ADVICE. Nate Tucci Trading is not responsible for any losses that may occur from transactions effected based upon information or analysis contained in the presented. To the extent that you make use of the concepts with the presentation material, you are solely responsible for the applicable trading or investment decision. Trading activity, including options transactions, can involve the risk of loss, so use caution when entering any option transaction. You trade at your own risk, and it is recommended you consult with a financial advisor for investment, legal or tax advice relating to options transactions.  Please visit https://prosperitypub.com/terms-conditions/ for our full Terms and Conditions. Unsubscribe This email was sent to ahmedwithnour@gmail.com by Prosperity Pub 101 Marketside Ave, Suite 404 PMB 318, Ponte Vedra, Florida 32081, United States Prosperity Pub