The fact TSLA is valued more then all the auto manufactures combined is absurd. You're naive to think big auto is just going to sit on the sidelines. Big auto has the infrastructure and production lines to mass produce fully electric vehicles for a fraction of the cost of a TSLA, something TSLA will never be able do. Ford is already leading the charge with the F-150 Lightning and converting old factories into fully electric vehicle production plants. TSLA is just as overhyped as Elon Musk.
Tesla has immense future potential. With fossil fuel reserves are depleting fast and the price is becoming unreasonably high for the car owners, Electric cars are the answer to all these problems. Tesla has not yet started marketing or selling their cars to every country in the world. But a time will come when Tesla will try to penetrate the majority of the countries with their electric cars.
I believe that Tesla stock is still undervalued considering the future potential it has. This downfall is temporary just like bitcoin.
I believe it has immense future potential as well, but not to the point of the market cap it's currently commanding. It's priced as if it's going to be the only electric vehicle manufacturer and maintain the margins it has now while doing so. These are both false. It was first mover advantage and that's it. The other car companies will produce far more cars than Tesla will and the competition will hammer Tesla's margins as they have to compete, rendering both premises false. The clearer this becomes in the future, the further the Tesla market cap will fall, and if they have to continue to issue shares to fund expansion, that means an even lower share price as outstanding shares make up a larger portion of the market cap side of the equation.