Here's Why Elon's Truck Is Dumb

Its design isn’t the only reason Tesla’s Cybertruck is dumb… Two weeks ago, Tesla (NASDAQ: TLSA) front man Elon Musk showed the world that it's possible to induce mass euphoria by simply showing an arena full of people a metal triangle. But that's not the only reason this truck is dumb... [Energy and Capital logo] Here's Why Elon's Truck Is Dumb By Alex Koyfman Written Dec. 08, 2019 Dear Reader, Two weeks ago, Tesla (NASDAQ: TLSA) front man Elon Musk showed the world that it's possible to induce mass euphoria by simply showing an arena full of people a metal triangle. And I have to admit, as I watched Elon Musk wheel out his latest creation, the Cybertruck, on November 21, I too was intrigued. The huge unpainted machine, which somewhat resembled a real-world manifestation of my earliest childhood attempts to draw a DeLorean, could out-accelerate a Porsche, take a sledge hammer to a door panel, and almost, but not quite, resist a two-inch ball bearing pitched at its window. [cybertruck] But then, as it usually does at some point during every public appearance by Elon Musk, the idiocy started. The pulling contest between the Cybertruck and the best-selling truck in history, the Ford F-150, was a farce that could only impress the kind of person whose most intimate interaction with a pickup is getting his Prius dusted by a thick cloud of diesel exhaust. Three Stocks to Play This $12 Trillion Investment Opportunity Right now, 5G is taking the world by storm. And within the next few years, it’s expected to create a $12 trillion tsunami of cash. Investors who position themselves properly stand to become millionaires. [Here are three stocks to get you started.]( Gender Pronouns for Pickups? Anybody who buys pickups for their utility understands that their value comes in their ability to pull dead weight. By dragging the Ford across smooth pavement, Elon only proved that his machine has the power to overcome the traction of the F-150's rear wheels, which, when not loaded down with weight in the bed, don't provide much traction at all. And then came the coup de grace: the Tesla ATV, which came out of nowhere to the persisting oohs and aahs from the crowd, and climbed the retractable rails into the truck bed. But as the crowd climaxed, I noticed that something was off... The Cybertruck's rear end sagged under the weight of the ATV like a mid-’80s Lincoln Town Car sags under the mass of five Midwesterners on their way to Sunday morning mass. [cybertruck] This is not how a truck suspension is supposed to behave under the relatively insubstantial weight of an ATV, even with the driver. My Dodge Ram certainly doesn't when I load my ATV onto it. Watching the Cybertruck assume this awkward, potentially dangerous stance led me to believe that this truck was not built by people who know much about how trucks are used. Right Vehicle... Wrong Market Even through the price points were compelling (ranging from $40K to $70K depending on range, drivetrain, and power options) and definitely put the Cybertruck in direct competition with mainstream offerings from its three main prospective competitors, Dodge, Ford, and Chevy, I was left wondering if real truck buyers would care. I don't know many salt-of-the-Earth pickup-driving, pickup-using types who would care about 0–60 acceleration. I know plenty who do care about hauling and pulling capacity, range, reliability, service life, and ease of maintenance. The high-end Cybertruck is claimed to be capable of going 500 miles on a single charge. We already know it won't be able to do this safely while carrying more than a quarter-ton in the bed... How will it do while pulling five tons on a trailer? Turn every $2 into $2,500 I just got off a conference call with the management of a little-known $150 million West Texas oil explorer. On the call, they revealed the discovery of $185 billion worth of oil under their land. This means for every one of this company’s $2 shares you buy, you’re buying $2,500 worth of oil. This is a recipe for massive windfall profits. [Here’s my full write-up and recommendation.]( Tesla Is Already Taking Preorders Will it break down? Will it seize up? Will it overheat? After all, Teslas are known for catching fire hauling nothing more than a cabin full of air. Will it be able to go hundreds of thousands of miles without having any major systems rebuilt or replaced? Will the owner be able to make small fixes (like change a tire) or modifications at home, without needing to go to a shop? At the end of the day, will men and women who depend on trucks for their livelihoods and their practical tasks actually trust it enough to leave the tried and true designs? Or will this just be another toy for Tesla fanboys to collect and gawk at? Until all of these questions are properly answered, Elon's truck will be a dumb idea, because instead of bothering with real-world truck-owner needs, Tesla just took one of its cars and shaped it like a pickup... sort of. Digging Deeper But of all the things that make this vehicle dumb, the biggest is one you can't even see. It lies in the motors that power the thing. You see, these motors are hopelessly obsolete. They're obsolete because, like all currently available electric motors, they still carry the same design DNA as the very first electric motors ever created, all the way back in the first half of the 19th century. The burning, the overheating, the loss of torque when spinning at low or high speed — all of these are issues inherent to electric motor design. With high-stress applications, these deficiencies only become more severe. Ironically, it's in this arena that Elon's dumb truck just may be in luck. You see, a recent advancement in electric motor design might actually make the Cybertruck a viable machine for real truck owners. Musk's Missing Puzzle Piece: The Smart Motor This advancement, the first true evolution of the electric motor since its advent, will increase power output, reliability, service life, and yes, even range. Unfortunately for Elon, however, Tesla doesn't own the patent to this advancement. [Another company does](, and right now, as you read this, it's starting to put its design into commercially available products for the first time. It signed a contract with an e-bike maker earlier this year and an electric boat producer just last month. High-speed trains might be next, and electric cars might not be far behind. Chances are [you've never heard of this company](, but I urge you to change that as soon as possible. You see, its stock is public. You can buy shares today, right off your online brokerage account. But you won't be able to do that unless you know the full story. [Get it here. Right now.]( Fortune favors the bold, [alex koyfman Signature] Alex Koyfman [[follow basic]@AlexKoyfman on Twitter]( Coming to us from an already impressive career as an independent trader and private investor, Alex's specialty is in the often misunderstood but highly profitable development-stage microcap sector. Focusing on young, aggressive, innovative biotech and technology firms from the U.S. and Canada, Alex has built a track record most Wall Street hedge funders would envy. Alex contributes his thoughts and insights regularly to [Wealth Daily](. To learn more about Alex, [click here](. Enjoy reading this article? [Click here]( to like it and receive similar articles to read! Browse Our Archives [Saudi Aramco Sets IPO Record]( [Will OPEC Push Oil Prices Higher in 2020?]( [Market Is Heading Higher: Here's Why]( [What Investors Should Know About the U.S. Becoming a Net Petroleum Exporter]( [Rick Perry Made America Great Again]( --------------------------------------------------------------- This email was sent to {EMAIL}. It is not our intention to send email to anyone who doesn't want it. If you're not sure why you've received this e-letter, or no longer wish to receive it, you may [unsubscribe here](, and view our privacy policy and information on how to manage your subscription. To ensure that you receive future issues of Energy and Capital, please add newsletter@energyandcapital.com to your address book or whitelist within your spam settings. For customer service questions or issues, please contact us for assistance. [Energy and Capital](, Copyright © 2019, [Angel Publishing LLC](. All rights reserved. 111 Market Place #720 Baltimore, MD 21202. The content of this site may not be redistributed without the express written consent of Angel Publishing. Individual editorials, articles and essays appearing on this site may be republished, but only with full attribution of both the author and Energy and Capital as well as a link to www.energyandcapital.com. Your privacy is important to us -- we will never rent or sell your e-mail or personal information. Please read our [Privacy Policy](. No statement or expression of opinion, or any other matter herein, directly or indirectly, is an offer or the solicitation of an offer to buy or sell the securities or financial instruments mentioned. While we believe the sources of information to be reliable, we in no way represent or guarantee the accuracy of the statements made herein. [Energy and Capital]( does not provide individual investment counseling, act as an investment advisor, or individually advocate the purchase or sale of any security or investment. The publisher, editors and consultants of Angel Publishing may actively trade in the investments discussed in this publication. They may have substantial positions in the securities recommended and may increase or decrease such positions without notice. Neither the publisher nor the editors are registered investment advisors. Subscribers should not view this publication as offering personalized legal or investment counseling. Investments recommended in this publication should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company in question.