Originally Posted by
Walter
While I only give it a 50% chance of passing, the possibility of paying many new American Tesla buyers $7500, when they currently get nothing, is an unexpected tailwind. The timing coincides nicely with the massive new factory in Texas ramping up. If it expands as fast as the Shanghai factory, it will be making over a million Teslas a year by sometime in 2024. The Fremont factory makes half of that, but is already the largest car factory in USA.
In addition, it is hard to see how long the rating agencies can still rate Tesla bonds as junk. The balance sheet is far stronger than many of their so called "investment grade" issuers. Upgrading Tesla to investment grade will open up a whole new basket of possible buyers. In addition, just like the index inclusion late 2020, many will become forced buyers.