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Remember when we said that Tesla was almost worth as much as all other automakers combined? Well now it is done: if you add the market cap of Toyota, VW, Daimler, GM, BMW, Honda and Ford, you still do not reach Tesla's 606B. Very interesting to see the centuries of cumulated experience of the other companies vs. the few years of Tesla. The question is: how does the market cap tells us about the real value of the company?

2020 was not like any other year. It is interesting to see this through the lenses of Google searches. At times, Covid spreading predictions were made with the help of searches for loss of smell. We can also note that Zoom and Unemployment have a similar curve, and that George Floyd and Black Lives Matter saw a peak that lasted a month. Tesla was searched all year through. Will Bitcoin be on the top chart for 2020?

Inflationary risk is on the rise assuming economic recovery post covid-era. Warning for fixed income assets and growth firms. Nominal GDP growth for 2021 in the US is predicted at about 6% and 5% for Europe by Analysts and Economists. Growth firms hindered by inflation in terms of valuation, see dividend discount models for a refresher on equity valuation, and notice how increasing rates in the denominator diminish present values of price. 

The days where the CFO was only the numbers crusher is long gone. Today, CFOs have to make more complex decisions. When they choose to give the green light to a technology development, they need to understand the implications of such an implementation, the profound changes it can have over the business, not only its opportunity cost. Quality data analysis has also never been more essential. Here below are the 5 elements on which CFOs will spend more time next year. 

This might be the most important chart of the year. Tesla, a car company, has now the same market cap as the ENTIRE energy sector of the S&P 500. You can believe in Tesla all you want, but on a financial perspective, something looks off...