Peter Cohan is a lecturer at Babson College and the author of the book “Goliath Strikes Back”. He wrote an article in Forbes magazine 5 years ago and tried his best to downplay Tesla.But with the continuous rise of Tesla’s stock price in the past few years, his views have now undergone a complete change.
After Tesla’s market value exceeded $1 trillion on Monday, Cohan predicted in an interview with the US personal finance website GOBankingRates that Tesla’s market value will double again within 6 to 12 months to reach $2 trillion.
He said: “Unlike Theranos, Tesla has a leader who is eager to change the world. Although there are occasional flaws, he did.” Theranos is a bankrupt blood testing company whose founder Elizabeth Holm Si is undergoing trial on suspicion of defrauding investors.
Cohan added: “He has the extra power to use his Twitter to attract the public. I guess this will help boost the stock price when Tesla is in trouble in the future. With its rapid growth, profitability, With its expansion, new products, improved battery technology, and new manufacturing plants, Tesla’s stock price may double in the next year after it has risen by more than 140% in the past 12 months.”
Cohan pointed out that he expects Tesla’s market value to reach $2 trillion in the next 6 to 12 months.
In that article five years ago, Cohan argued that investors should sell Tesla stock. The article said that Tesla has serious governance problems, which is fully illustrated by the purchase of SolarCity for US$2.86 billion. The article also criticized Musk for his arbitrariness, and the Tesla board of directors did not object to it, and it was entirely Musk’s “single word.” He also pointed out that Tesla’s output at the time was not as good as expected, and a fatal car accident occurred.
After Tesla’s market value exceeded $1 trillion, MicroStrategy CEO and Bitcoin “whale” Michael Saylor also congratulated Musk. Earlier this year, he publicly cursed “Damn Musk” because of Musk’s tweets that caused Bitcoin to plummet.
Seiler left a message in Musk’s tweet celebrating Tesla’s breakthrough in market value of $1 trillion: “Congratulations, the first trillion is always the hardest.”