Market Overview

'I Can't Fight It Anymore': Why Cramer Likes Tesla Now

Share:
'I Can't Fight It Anymore': Why Cramer Likes Tesla Now

Jim Cramer has seen the light. The sharp, sleek light of a Tesla Inc (NASDAQ: TSLA). And the experience has converted the "Mad Money" host from a long-time “agnostic skeptic” to an “outright bull” on the tech company.

Tesla’s whimsical coding helped. Cramer hadn’t been sold on the Model 3, but the “flatulence button” soon won over his family. He also wasn’t impressed by the Cybertruck, which he called “ugly as all get out,” but he couldn’t get over the demand. Deposits were “off the charts.”

“That stunned me,” Cramer said on Wednesday's show. “I decided then and there, that was it. I was done. I can’t fight it anymore. I wanted the Kool-aid, myself.”

A Car Company With Mojo

He took another look at the financials, which the bears cite as a primary turn-off. A generally skeptical CFO assured Cramer that Tesla could raise $2 billion in an instant.

“This is not a company that’s going to have trouble raising money,” he said. “Plus even the bears recognize that Tesla’s about to have an earnings break-up, perhaps as soon as next year. It’s the only car company with any real mojo.”

Even worries about Tesla’s solar panel business abated when, at the behest of his wife, Cramer bought a set. Leadership was his last lingering concern. CEO Elon Musk’s incessant tweeting, analyst attacks and trouble with the SEC had spooked Cramer into the bear cave, but Musk’s posture on the recent earnings call drew him out.

“Musk is a great CEO when he can get out of his own way, and that seems to be what he’s doing,” Cramer said.

So now he’s positive on the products, he likes the financials, and he’s got no complaints about leadership.

“If you’re going to invest in a battleground stock, Tesla’s got all the ingredients of a winner,” he said.

Related Links:

Jim Cramer: Tesla's Conference Call Needs To Be Included In A 'Saturday Night Live' Spoof

Elon Musk Vs. Jim Cramer: A History

Posted-In: Elon Musk Jim Cramer Model 3Media Best of Benzinga

 

Related Articles (TSLA)

View Comments and Join the Discussion!