Summary
The Financial Times reported a $1.4 billion discrepancy in Tesla’s accounting, raising concerns over missing capital expenditures.
Tesla reported spending $6.3 billion on property and equipment in the second half of 2024, but asset values increased by only $4.9 billion. Experts find no clear explanation for the gap.
Additional red flags include Tesla holding $37 billion in cash while raising $6 billion in new debt and not conducting share buybacks despite $15 billion in operating cash flow.
Analysts warn of parallels to past financial scandals like Wirecard.
Remember project 42 where Elon had Tesla building a house for him, and it only got noticed due to the extremely large orders of premium glass?
I’m going to guess that wasn’t the only such project…