Part 7/10:
- If earnings estimates hold, by 2030, Tesla's P/E could be as low as 3.8, making it an exceptional value for long-term investors.
Warren Buffett's Investment Philosophy and Tesla
Buffett famously advocates for buying high-quality, well-understood companies during market distress. His history suggests he prefers to wait for stocks to trade at bargain levels before deploying capital. He is wary of margin debt and market speculation, emphasizing fundamental value over short-term gains.
The current environment appears ripe for Buffett—who has expressed admiration for Tesla's vision and leadership—to initiate or expand his stake. When Tesla's valuation becomes exceedingly low relative to its growth potential, Berkshire Hathaway may find the opportunity irresistible.