Why Conservatives Should Buy Tesla Stock
Deep State actors are working to destroy Tesla's stock value in order to stop Musk's exposure of nefarious and illegal activities by US government entities against Conservatives.
Tesla stock has been driven to all-time-lows by an attack on the asset to derail Elon Musk’s Constitution Restoration Project at Twitter. This comes despite the fact that Tesla posted massive 4th quarter results - over 308,600 deliveries, 936,172 produced units and 1.31M annual, a growth of 40% from last year. This largely continues Tesla’s 50% year-over-year growth from 2021, posting over $53 billion in revenue and $5 billion in profit.
Unlike every other auto manufacturer, Tesla has essentially zero debt and $20B in cash. Yet it’s current price has the same forward Price-to-Earnings ratio as Coca-Cola.
1. Elon Musk is at war with the Deep State
Since he announced his intent to buy Twitter in order to restore free speech to the platform, Elon Musk has become Enemy #1 of the Deep State and the Establishment that does its bidding. The recent exposure of the #TwitterFiles has done unprecedented damage to intelligence community entities after Musk exposed evidence that numerous government agencies have been covertly directing social media employees to censor specific user accounts for a political agenda.
1.1. TwitterFiles Expose the Deep State’s Assault on the Constitution
A key point of Musk’s exposure of the files is that social media has been directly weaponized against only one side, Conservatives, in the advancement of a political agenda. Mainstream media and Liberals framed the issue of censorship around violations - racism, so-called hate speech, etc. - not political affiliation. Musk proved that wrong.
The exposure of the evidence for a political agenda flies in the face of numerous false claims by Twitter officials who testified before Congress, such as former CEO Jack Dorsey. Dorsey claimed that techniques like shadow banning and censorship were not happening or were only based on terms of service violations.
Worse, Musk has shown that the US intelligence community agents have been deeply involved in the efforts at Twitter to silence Conservatives, but not Liberals or Progressives. We have now learned that not only were (former) FBI agents working at Twitter itself, but that current FBI officials have been paying millions in taxpayer dollars to Twitter to censor Conservatives. The lawsuits are already starting.
Consequently, the Deep State has been exposed as never before, literally caught in the act of advancing a political agenda of their own with US taxpayer dollars, in direct violation of the US Constitution. The current attacks on Tesla stock are obvious retaliatory measures to stop the release of the TwitterFiles and punish Elon for having dared to expose them in the first place.
1.2. Tesla stock is under attack by the Deep State
By tanking the Tesla stock value - through purchasing short sale shares, or put options, and betting that the stock will lose value in massive blocks - nefarious wealthy Elites (i.e., Bill Gates is a known short-seller of TSLA ) are hoping to create enough financial problems for Elon Musk to cause him to drop his investment in Twitter and let someone else take over.
The Deep State has many tools at its disposal to drive down the stock price. These include the following, whose effects will be discussed below, in Section
Shorting the stock and manipulating the options chain
Spreading FUD through establishment and alternative media
Using the FED to crash the market generally and Tesla specifically
Tesla share price responds more to interest rate fears than the NASDQ despite the fact it is has zero debt and $20B in cash, and a roadmap that doesn’t depend on the capital markets given its massive profitability since 2020.
This is why the best way to help Musk’s efforts is to buy stock in Tesla. We explain why this is especially true for Conservatives, a group which has been targeted both with disinformation campaigns about EVs themselves, and with covert Deep State political operations at Twitter to silence Conservative voices.
2. Tesla stock is financing Elon Musk’s Twitter acquisition
The vast majority of Elon Musk’s net worth is in common stock of Tesla Inc. Musk used his stock in Tesla, as the largest single shareholder at 23%, to finance his hostile $44B takeover of Twitter.
While his decision may have followed the banning of the Babylon Bee from Twitter, his professed rationale was to bring back free speech and to end the growing censorship of Twitter users.
This isn’t the first time Elon Musk has put everything on the line to achieve his goals. Three prior examples are:
2.1. Musk Founded Tesla and SpaceX With Proceeds From PayPal
When eBay bought PayPal in 2002 for $1.5 Billion, Musk garnered proceeds of $180 million. He used this money to found Tesla in 2003 (because it would solve the problem of sustainable energy) and he founded SpaceX in 2002 (because it would help "make life multi-planetary").
2.2. Fourth Time a Charm - SpaceX and Tesla faced bankruptcy in 2008
Musk said 2008 was an incredibly difficult year, with SpaceX seeing three successive failures of its Falcon 1 orbital rocket, and Tesla almost going bankrupt two days before Christmas. At this point, Musk only had about $40m left.
"I could put it all into one company, and the other company would definitely die, or if I split it into both SpaceX and Tesla, then they both might die," said Musk. "And when you put your energy into building something, it's your baby, so I couldn't choose. I put the money into both, and thank goodness they both came through."
September 28, 2008 was make it or break it time for SpaceX with the Falcon 1, as a fourth failure would bankrupt the company. With great suspense, Elon Musk and the SpaceX team at Hawthorne CA watched the fourth launch attempt of the Falcon 1. When the vehicle successfully launched and achieved Earth orbit, it became the first privately developed liquid fuel rocket to reach Earth orbit, and put SpaceX on the path where, today,
SpaceX went on to develop the Falcon 9 - the first orbital booster that could land itself propulsively. Since then Falcon 9 boosters have landed themselves 158 times. Today, Falcon 9 is the only U.S. rocket certified for transporting humans to the International Space Station.
2.3. Ramping the Model 3 - Tesla Faced Bankruptcy in 2018
In 2017-18 Musk slept in the Fremont factory while going through Production Hell for Tesla’s first high-volume sedan, the Model 3, as he attended to all aspects of the production ramp.
Musk has consistently pulled through, becoming the first car manufacturer to reach high volume while avoiding bankruptcy since 1920. In 2012 Musk predicted that Tesla would produce 500,000 cars in 2020. His prophecy was fulfilled with Tesla producing 509,737 units and delivering 499,550, despite all the headwinds of 2020.
Now, with his acquisition of Twitter, he faces attempts not just to bankrupt his company but to take his family members’ lives.
3. Tesla: Enemy#1 of Democrat/Media/DeepState Nexus
The TwitterFiles expose the nature and extent of the Democrat/Media/DeepState nexus — the same nexus that appears to be behind the draw-down of Tesla stock.
3.1. Democrats Uniformly Attack Elon Musk and His Companies
For the decade prior to 2020, Tesla was under constant attack by short-shellers, TSLA holding the title of most-shorted stock for years, while FUDsters beat the drum of “the competition is coming”, and TSLAQ operatives used Twitter to claim Tesla was “structurally unprofitable” and that its accounting was thoroughly fraudulent.
3.1.1. Elon Musk’s Run-Ins With the SEC
With Tesla under constant assault by short-sellers in the midst of the Model 3 ramp things came to a head in August 2018, when Musk tweeted about taking Tesla private.
The SEC, which Musk had long criticized as the “Shortsellers’ Enrichment Commission” used the tweet as a pretext to sue Tesla and Elon Musk, forcing the beleaguered CEO to accept a consent decree that included fines of $20,000,000 levied against both himself and Tesla, and a provision that all his tweets would have to be pre-screened by an lawyer.
The SEC later opened a probe and subpoenaed documents concerning Musk’s and Tesla’s compliance with the decree, after Musk asked followers in a Nov. 6, 2021 tweet whether he should sell 10% of his Tesla stake to cover tax bills on stock options.
On March 8, 2022, Musk petitioned the court to rescind that provision, claiming that the SEC exploited Tesla’s tenuous financial position in 2018, and that the effective muzzling of his speech on @Twitter was a violation of his civil rights.
“The SEC has maintained constant investigations into Mr. Musk’s speech, employing nebulous interpretations of the consent decree seemingly designed to curb and chill his future speech, all regarding speech entirely unrelated to the 2018 tweet for which the SEC initiated this action,” wrote Musk’s attorney Alex Spiro.
On April 7, U.S. District Judge Lewis Liman denied Musk’s motion to end the consent decree and kill parts of a subpoena stemming from an SEC settlement in 2018.
Musk then asked the 2nd US Circuit Court of Appeals in Manhattan to overturn the Judge Lewis Liman’s decision allowing his consent decree with the SEC to stand, but the appeal was denied.
3.1.2. Lockdown Democrats Attempted to Strangle Tesla in 2020
On March 2 2020, Tesla’s only plant at the time producing in quantity, Fremont, was shut down under orders of Democrat-controlled California for not being and “essential activity”, despite being the state’s only remaining automobile manufacturer. Then, on May 17 2020, as Tesla was gearing up to restart the plant, the Alameda Board of Health stepped in to keep the plant closed, despite Tesla having provided a detailed plan on with pandemic safety protocols.
Musk responded forcefully to the County’s over-reach, and put himself on the line (as in on the production line) to defy the lockdown.
Leader of California Labor AFL-CIO and then-Assemblywoman Lorena S Gonzalez Fletcher came to the aid of the Alameda County Ministry of Health, villainizing Elon Musk and Tesla as perpetrating countless abuses against their (non-unionized) workers, some of which can be found in replies to Fletcher’s tweet.
This level of vitriol from the left would re-emerge in early 2022 with Democrats Elizabeth Warren, Bernie Sanders, and Robert Reich attacking Elon Musk for the sin of being a billionaire, all while they lobbied for a “billionaire tax” that would tax unrealized gains, a 70-IQ idea at best.
3.1.3. Elon Musk Labels Democrats “the Party of Division & Hate”
By May Elon Musk had enough of the abuse from Democrats, and declared he would withdraw support from them.
3.1.4. “Journalists” Dox and Threaten Musk Family Members
For at least a year, Elon Musk’s movements were being tracked by Jack Sweeney using the @Twitter account ElonJet. A dozen other “journalists” started linking to Sweeney’s account and posting real-time doxes of Musk’s real-time location. Then this happened.
The “journalists” cried bloody murder for having their accounts suspended under Twitter’s new rule banning doxing people with real-time location data, and the hate campaign against Elon Musk continued to intensify, as noted by this tweet to which he responded.
3.2. Tesla Does No Paid Advertising: Media Hates It.
Tesla has never bought advertising. According to Tesla’s philosophy, improving the product is a better use of resources than any spend of advertising.
Partly as a result of Tesla’s lack of advertising spend, the entire media establishment consistently displays bias towards Tesla. This is especially true of the automotive media, which largely relies on advertising by auto OEMs, ie: Tesla’ competitors. Even entities touted as unbiased get in on the Tesla-trashing act, examples including (Ford-foundation-controlled) Consumer Reports, the LA Times, the Washington Post, and J.D.Powers.
3.3. Tesla Resists the Woke Agenda
Tesla has long been attacked by the left for its lack of unionization, particularly by California Democrats.
3.3.1. Tesla Targeted by the ESG Scam
Tesla continued to be assigned a “junk bond” investment rating even as it passed $5 Billion in profits, had $20 Billion in cash, and essentially zero debt.
ESG, standing for Environmental Social and Governance, is an establishment tool for enforcing the Woke agenda on corporations. Rating agencies such as @SPGlobal, @CDP, and @MoodysCorp use ESG ratings to advise funds which stocks to invest in. For some reason Tesla retains a sub-investment grade status despite having better financials than any company given the investment grade stamp of approval. Note that in Alexandra Merz’ table below, the row for Tesla has green across all 5 metrics of financial health, yet has orange in Moody’s rating column.
3.3.2. Elon Musk Targets the Woke Mind Virus
Although Musk has been raising concerns about Wokeism for some time, he’s become more strident since the Twitter Acquisition.
This was in response to the fall-out of his tweet, preceding the release of #TwitterFiles COVID Edition, where he was condemned for mocking the use of pronouns and thereby brining harm to trans individuals.
3.3.3. Elon Musk Opposes The Destruction of US Energy
Since assuming office, the Biden Administration appeared to sabotage US energy infrastructure and independence. In his first week, he killed the Keystone XL Pipeline project, which would have supplied American refineries and supported 11,000 jobs. Later, he suspended new drilling leases on federal lands and waters. These actions, combined with the spike in inflation had the effect of doubling fuel prices in much of the US by mid-2022. Meanwhile, our energy independence was eroding, with US crude oil exports dropping in 2021 after having increased every year for a decade, reaching a record high in 2020. US crude oil imports increased by about 235,000 b/d in 2021 to ~6.1 million barrels per day.
Elon Musk, understanding the importance of energy to the economy, tweeted about the insanity of reducing energy production in a crisis, both in the US and in Europe.
Five months later, Musk was again tweeting about the harm caused by shutting down nuclear power plants.
3.4. Federal Agencies Weaponized Against Tesla
Even before the Biden (cough) Administration, Elon Musk was at war with the SEC for years, some of which is detailed in Section 3.1.1. But once Biden took office, various federal regulatory agencies began harassing Tesla, especially around its Full Self Driving (FSD) package. A future version of this essay will detail this.
4. Conservatives Have Been Targeted With Lies About Tesla and Musk
Keeping conservatives and Tesla apart is a key part of the Deep State’s war on Elon Musk. If the left can be alienated from Tesla by their distaste for what Musk is doing to restore our Constitutional rights, the right must be kept in the dark about the practical benefits of owning a Tesla, the nature of the company, and the potential of the stock.
4.1. “Elon Musk and Tesla rely or have relied on government subsidies”
The drumbeat that that Tesla, whose 2022 profit is expected to be ~8Billion, is a creature of government subsidies is highly misleading. In fact Tesla was the only major success story among recipients of DOE loans in 2009-2011, which it paid back 9 years early.
4.1.1. The 2010 ATVM Loan
In 2010 Congress authorized Advanced Technology Vehicle Manufacturing Program (ATVM) with $25 billion in funding, under the and the 2007 Energy Independence and Security Act (EISA) and the 2008 American Recovery and Reinvestment Act (ARRA), which would spend $787Billion.
Solyndra, the first company to get government-backed loans from ARRA, collected $535 million and received a $25 million tax break from California's agency for alternative energy. Solyndra went bankrupt on September 1, 2011, having paid back only about $24 million of the DOE loan, and became a poster child of the failure of ARRA programs.
Tesla received a $465 million loan from the US DOE under AVTM, and paid it back in full nine years early, incurring an “early repayment penalty.”
4.1.2. European Union Battery Subsidy
In 2021 Tesla declined a > $1 Billion battery production subsidy for GigaBerlin from the EU.
In response, Elon Musk noted that that the DOE loan wasn’t worth the effort.
In contrast to Tesla’s early repayment of its DOE loan, the US wound up losing $11.2 billion in its bailout of General Motors, a company that, according to Joe Biden, is “leading the electric vehicle revolution”. See #MaryLed.
4.1.3. The Federal EV Tax Credit
Today, Tesla is one of the few EV manufacturers — domestic or foreign — who receives no federal subsidies. Tesla had received a $7500 tax credit on each car it shipped through 2018, $3750 through June 2019, and $1875 through December 2019. Since 2020 Tesla has delivered nearly a million cars in the US with no subsidies. — 5 times as many as it produced before 2020.
In contrast, foreign companies, like Hyundai, have been receiving $3500 per hybrid, even if not manufactured in the US.
It’s true that the Orwellian-named Inflation Reduction Act stands to benefit Tesla massively. Notably, Elon Musk is on record opposing the new subsidies, citing the inevitable inflationary impact. Also, the IRA is currently hurting Tesla’s share price because Tesla is having trouble delivering cars in the last weeks of 2022 before becoming eligible, again, for $7500.
4.2. “EVs are terrible for the environment”
This has two components: the environmental footprint of EV manufacture given the materials required; and emissions caused by the fossil fuels needed to charge EVs. To this argument’s credit, the criticisms of manufacturing and fuel footprint do apply to many of the non-Tesla EVs, which are far less efficient than Teslas, and have not been as aggressive as Tesla in reducing their environmental footprint. For example, last year, half of the units Tesla sold worldwide had lithium-iron-phosphate (LFP) batteries rather than chemistries containing nickel and cobalt.
6. Conservatives and Elon Musk are Natural Allies
Elon Musk has gone all-in on what I describe as the #ConstitutionRestorationProject, meanwhile retaining his sense of humor continuing to entertain us with tweets that trigger the Woke.
6.1. Tesla New Products Address Middle America
Tesla, borne in California and developed in Silicon Valley, has been pegged with the stereotype that it makes only toys for coastal elites. However, ever since Elon Musk confronted Alameda County and announced it would move its headquarters to Texas (see Section 3.1.2.), Tesla’s future focus on Middle America. GigaTexas, the CyberTruck, and Tesla’s new affordable car are all examples of this.
6.1.1. The GigaTexas facility
When Musk announced that Tesla would be moving its headquarters out of California in May 9, 2020, few could have imagine how fast GigaTexas would be developed. By July, earth machines were already carving up the hills and ponds of the sand and gravel mine that occupied the site. By April 7, 2022, Building 1, measuring about 1,000 by 4,500 feet, was sufficiently complete to hold the Cyber Rodeo, in which 15,000 members of the public were allowed to tour sections of the plant.
6.1.2. The CyberTruck
Tesla’s most anticipated product yet the CyberTruck, revealed in November 2019 and slated for production in mid 2023. CyberTruck takes Tesla’s form-follows-function design philosophy to a new level, employing a stainless-steel exoskeleton serving as a highly efficient structural system while providing extreme durability. CyberTruck avoids the main pitfall of electric truck offerings by Ford and GM -- excessive efficiency-reducing weight — by combining the exoskeleton with a structural battery pack and single-casting front and rear underbodies.
6.1.3. Tesla’s New Affordable Car
During the 2022.Q2 Earnings Call, Musk disclosed that Tesla would be producing an entirely new car that would require “half the effort of the Model 3”. Since the Model 3 starts at about $50k, we assume the new car will be about $25k. Finally, an affordable EV that doesn’t have a reputation of bursting into flames (like the Chevy Bolt EV).
6.2. Tesla Investors Become Millionaires . . . and back the US Constitution
Tesla stock is massively undervalued, now even more than when Elon Musk began his acquisition of Twitter.
Given the forces that are suppressing the Tesla share price, and the amount of money waiting on the sidelines for assurance that the bottom is finally here, the stock is like a loaded spring. Tens of $Billions in short positions will have to be closed at a low stock price in order to make money, so a large enough green candle is likely to trigger a flood of green.
Thousands of TSLA investors who entered the market before 2021 became millionaires, and the stock is now positioned much like it was this time 3 years ago.
But that’s an aside — THIS IS NOT INVESTMENT ADVICE — Rather, it’s political advice: the best way to support Elon Musk’s #ConstitutionRestorationProject is by supporting the asset backing his #TwitterTakeover.