Uber Might Shut Down + The Truth about Tesla 5-1 Stock Split
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Tesla is doing a 5-1 stock split and Uber might shut down in California! This is huge news regarding Tesla stock and Uber stock. This is my opinion on that… Would you put Uber stock and Tesla stock in the stocks to watch category or stocks to buy now? LMK
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Well Holy smoke is is a no joke is oh my goodness guys we have a lot of big news to talk about here today for me to give my two cents on okay first off here Good day in the market overall NASDAQ’s up over 2% Meanwhile, Uber is making a downward move here today a red day for Uber some pretty bad news in regards to Uber stock. We’re gonna talk about Tesla.
Tesla’s having an amazing day. As of the start of the prep of this video, this stock is up 12 and a half percent up $171 a share, we got to talk about some big things in regards to these companies. Okay, Uber CEO says it may have to shut down, we’re going to talk about that massive news story.
Okay, Tesla announces five to one stock split have to talk about that huge thing. And lastly, we’ll talk about something in regards to plant 13 that I’m seeing out there involving trade trading activity at the beginning and the end of trading days.
And I’ve noticed this consistently. I just want to point this out to you guys. So hopefully it saves you a little bit of money. Okay, so hope you guys enjoyed today’s video. As always, if you don’t mind, smash that thumbs up button that helps out the channel in a massive, massive way is speaking about massive, massive things is a massive day in the public count today.
I mean, the count is up over 37k right now, just a public account here today. I mean, that account has had an amazing, I mean, absolutely amazing past year. But my goodness, what a massive day one of the biggest days ever in that account. Okay, so let’s talk about you’re talking about the Uber situation.
Uber CEO talking about they might have to shut down you guys know I used to be an Uber shareholder make good money on the stock, right? This is a public account. For instance, this was one of the two accounts I held Uber shares in and we ended up profiting over $7,000 in that stock.
I mean, we did very, very, very well, needless to say, in Uber overall, and it’s not doing so well recently, okay. Uber would likely shut down temporarily first several months if a court does not overturn a recent ruling, requiring it to classify its drivers as full time employees CEO dark has a Sharkey said in an interview to msnbc.
He says if the court doesn’t reconsider, then in California, it’s hard to believe we’ll be able to switch our model to full time employment, quickly says it see okay. Keep in mind California is the biggest market for Uber.
Okay, this is the biggest market California okay. So I mean, if they have to shut down for several months in California, that basically means they shut down their biggest market for several months. Okay.
That is a massive, okay, that is massive for the company overall. Okay. And when I say massive, I mean massive in a very bad way. Okay, Uber and rival Lyft. Both have about a week left to appeal a preliminary injunction granted by a California judge on Monday that will prohibit the companies from continuing to classify their drivers as independent workers.
Following the order will require Uber and Lyft to provide benefits and unemployment insurance for workers. California is Attorney General and three city attorneys brought the lawsuit against a company under the state’s new law assembly bill five that aims to provide benefits to gig workers core to a company’s business by classifying them as employees.
In his decision granting the preliminary injunction. The judge rejected the notion that drivers should be considered outside the course of the company’s businesses, calling the logic quote a classic example of circular reasoning.
Uber and Lyft. Both said they would appeal the ruling during the 10 day period before it goes into effect. Okay. The CEO said on Wednesday that his plan B if Uber can’t win on appeal would be to temporarily pause service in California and remember the talking about potentially months Okay, not just like a day or something like that.
Okay. While he said Uber would later resume service in the state, it would likely be on more centered cities, which would mean limited availability in less concentrated areas, such as suburbs or rural areas, something like that. Okay.
If the appeal doesn’t work out for Uber, it will be banking on voters to determine its fate. The CEO said that if that’s the case, the service would likely shut down in California until November. Okay.
We’re only in August right now, when voters in the state decide on proposition 22, which would exempt drivers for app based transportation and delivery companies from being considered employees. Uber has argued its drivers prefer working as independent contractors, though California ag rejected that claim saying that’s a bogus argument.
Okay? So obviously, you know, this is just a really, really, really, really negative thing for Uber, because you think about this, if this goes through in California, who’s to say it’s not going to happen in other major markets, not just the United States of America.
But around the world as well, which would be just, you know, detrimental to Ubers business model in a massive, massive way. Okay. Think about it like that. Okay. If you’re going to make the drivers full time, you’re taking away two big things.
Yes, you’re giving those benefits out there, but you’re taking away their freedom, okay. Because ultimately, when you’re talking about a full time employee, then Uber is going to want these people to work specific schedules, you know, right now you can go on the Uber app and shoot, if I want to go drive right now I could, right?
I mean, I would have to sign up for Uber first to be an Uber driver. But if I wanted to, and I signed up for it, I could go anytime in the middle of night, if I want to go drive, you know, people around, I could do that, right?
Well, if all sudden you become a bunch of full time employees, you have to be there at very specific times. And so Uber is gonna say, you’re gonna, you know, drive at this time, and it’s like, man, I don’t want to drive at that time. Well, you can either do this or you’re fired. Okay?
And so you kind of lose some freedom there. Well, you do lose our freedom there. Okay, let’s be honest about that. Okay. The other issue with this is, it’s gonna make rides more expensive, just flat out, okay, rides will get more expensive in California.
And if this happens in other markets, it’s gonna get more expensive, because those costs that Uber is gonna incur, Uber is not covering that, okay, they’re just going to raise prices, and so won’t Lyft and Uber and Lyft are your only two options, so prices will get more expensive.
Uber and Lyft will raise prices raise prices, and who ends up paying for that all the Uber riders will pay for that, because believe me, Ubers not paying for that. And neither is Lyft. Okay, glyph lost a ton of money last year, so get Ubers income statement.
Okay, if you can call it an income statement. 2019, Uber had a net loss of $8.5 billion, do you think Ubers gonna front that cost? No, they’re gonna pass that right along to drivers, along with a whole lot more, because Uber and Lyft are going to be going up in price considerably over the next few years as it is to get these businesses to you know, profitability.
Nevermind, when you add on these things, it’s just going to get a whole lot more expensive. If you want to take these ride sharing apps just flat out okay. Trailing 12 month, the company’s lost almost $7 billion in the last 12 months alone when it comes to Uber as our next question I’ll logically get is Emily interested in buying back into Uber?
It’s down to $30 a share in the 30s? You know, low 30s? Let’s call it that. Okay. Will I buy back in? am I interested in buying back in honestly, no. Okay. I mean, if it goes under 25, I’ll start considering the possibility of buying an Uber. But I’m honestly not that interested.
I mean, this is a messy situation. You know, it’s a tough business model as it is, you know, I have always kind of had a lot of faith in that company. But I have seen them cut back on a lot of different things recently. And it’s going to be a mess.
Let’s just just flat out. Never mind if you’re talking about Robo taxi network starting to take off in a few years from now, you know, that’s going to be a whole other situation. And who knows if Uber is going to be ready to rock and roll for that.
And so Uber, you know, if it falls under 25, maybe I might start considering it. But as of right now, it’s not even in consideration as a stock for me to buy personally, that’s a messy, messy situation. Okay.
Let’s talk about a situation that’s not too messy. And that’s Tesla playoffs. Oh, my goodness, starts up over $200 a share now up 15% just while I prep those other Uber slides, unbelievable move here day.
I mean, a move like that makes me say I got to get into tests. I got the model three, I got the Model X and I’m thinking man, maybe move that punching bag out of the way and maybe get a cybertruck or maybe a roadster which one you guys think I should get like a roadster a cybertruck.
When they come out next year, let me know. And maybe I’ll pull up that third garage there. Okay. And oh, my gosh, I mean, this day is getting crazy in the public account. Now. We’re up over 40k in the public count here today. I mean, it is it is extraordinary. Okay.
But let’s talk about this five to one stock split for tests. Okay, so Tesla announced a five to one stock split Tuesday evening, right? The split goes into effect after the close of trading on August 31. And today’s August 12.
So we’re talking you know, about three weeks from now or so into the future. Okay. A lot of people are confused. How is this gonna work? What’s my opinion on this? All those sorts of things? Okay. So some people are like, Oh, I get 5x more shares, I’m gonna be rich, oh my gosh, I have, you know, 50 shares and now I’m gonna have 250.
And this is amazing. And it just like, see a lot of confusion out there. And people think and you know, it, that’s not as simple as, okay, it’s just not that simple. Flat Out is not as simple as you’re gonna get 5x more shares at 15 $100 a share or something like that.
Okay. Here’s an example. you own one Tesla share here today, let’s say for instance, okay, well, essentially, after August 31, you’re gonna own five Tesla shares. That’s beautiful. That’s awesome. But guess what? The stock price is also going to be divided by five.
Okay, so NET NET, it’s the same exact thing, you’re not you’re not like benefiting any, you’re not being heard at the same time, just because the stock price is going to be divided by five, because like you said, you’re getting 5x more shares.
So net net, it really doesn’t mean a whole lot for you guys, okay? It really doesn’t if your current shareholder, it means some other big things that we’re going to speak about here. But in terms of if you think you’re going to lose a bunch of money or make a bunch of money, just because the stock is splitting, that’s not how a stock split works, okay.
And for that example, you know, let’s say with that one share, you know, that’s worth 15 $100, let’s say here today, you know, I think Tesla stock somewhere around 1500, right? You go ahead, you divide out that by five shares in there, your shares are going to be worth about $300 each, assuming that’s what the stock price is, you know, come August 31, or whatever, okay?
Now, some people are saying this is awesome in Tesla shares are going to be cheaper, now only be $300, or whatever price or $320, or whatever, this is going to be awesome. So you know, so much cheaper, this is phenomenal, but it’s not really how it works, either. Okay, it’s not just important to look at the stock price, it’s important to look at the market cap, okay.
And it’s just for all those folks that are kind of newer to the stock market, market cap, whether a company is expensive or cheap, it’s really comes down the market cap, I get have a stock worth $10,000 a share, and somebody has a stock worth $1 share.
And really, that company could be much more expensive, the one that’s $1 share could be actually much more expensive than the company that’s $10,000 a share, you know why? Because market cap is what determines if a company is expensive or not expensive.
That is what the valuation is on this company. At the end of the day, the valuation is going to be the basically the same from August 31 into September 1, okay, nothing changes with the valuation just there’s going to be a lot more shares out there, and the share price is obviously going to be decreased.
Okay, so it’s not really like it gets cheaper necessarily, okay. But I will tell you what I absolutely love about this move. Okay. And I and I, this is, you know, coming from somebody like myself, who’s obviously somebody that not just teaches, you know, advanced investors, different strategies, and things like that, and how I look into stocks and what stocks I’m buying.
But I honestly, you know, half the channel, I would say is made up of people that are in their first year of investing, okay. And so what I ultimately love about this is newer investors can buy in, this is phenomenal news, okay?
Newer investors can buy into the stock that maybe couldn’t have bought in the stock when it was 15 $100 Plus, okay, because think about it, right? The stocks 1500 something dollars here day, you know, at $300.
Also in Atlanta that allows a lot of smaller investors to buy in, let’s say you only have 900 bucks to invest, and you really want to buy Tesla stock, gosh, you can’t buy Tesla stock, right unless you sign up for a brokerage that has fractional shares, but not all brokerages have fractional shares, right.
So if you you’re stuck there with your situation where like, I would like to buy some Tesla stock, I don’t really know what I’m doing in the stock market, but I really want to buy a stock, right, and you got your 90 bucks in there, you can’t buy.
But now if the shares are 300, something, you as a smaller investor can now invest. Also, maybe it’s a situation where you know, you let’s say you have $2,000 to your name, and you’re like, dang, I don’t want to invest almost all my $2,000 into one stock, I want to diversify it around a bit and buy a bunch of different stocks and kind of get experience in a bunch of different stocks.
Right? Great. But you know, ultimately, if Tesla’s 1516 $100 a share, you can’t really do that, right? Because you’re like, shoot, I lost all my money in that. So I love the fact that smaller investors will be on buying a stock like Tesla, because ultimately.
Tesla is one of those, you know, very few stocks in the stock market that really attract a ton of new investors who have never invested before. But they see a company like Tesla, on the on the come up and on the rise and they start thinking man, I want a piece of that too.
I want to make some of that money, too. I want to you know, when this company succeeds, huge, I want to take part in that and be part of that ownership of the actual company. And so for that, I love it. Okay.
And, you know, for me, I always say starting as a key, that’s the key, you know, why do a lot of people you know, basically not achieve any type of real, you know, financial stability, or freedom and things like that, they never really start with investing, they never get the ball rolling.
And the key is to get the ball rolling when you don’t have much money. That’s the biggest thing. In my opinion. I started in the stock market, I probably had like less than 1000 bucks. I think my first investment was like 300 bucks or something like that.
That’s what it’s all about getting that ball rolling. told me you know, people in my private stock group, you know, I have a little motivational tab in the discord. And I was telling them, you know, last night I said, you know, a decade ago.
I was worth $5,000. Like, just think about that. I mean, imagine how much can change in your life. Have you really, you know, pay attention to money, you care about money in a matter of a decade. decade ago, I was worth $5,000 total total.
That’s crazy. Right? Starting is the biggest key with all this. What I will say I don’t like about this what I think is lame. And this is my personal opinion. I think this is super lame. Is the massive move up in the stock price today, because let’s be very clear, who’s buying today are pretty much not long term investors.
The people that are buying today are most seat traders, okay? Because if you were a long term investor you couldn’t buy yesterday went up by yesterday when it was $200 a share cheaper, why not buy the day before or something like that, right? or the day before that or the day before that the fact is also in this five to one split is announced.
And now a bunch of you know, breadcrumb, chaser money gets into the stock a bunch of short term, let’s, you know, hype it out, just buy in. And I think that is so lame, in my personal opinion, because a lot of people are buying in the stock, who are not really in for the long term, okay, they’re not in the stock for the next 357 years.
They’re in the stock for the next, you know, few weeks, let’s put it that way. This is a play on the fact that they think the stocks gonna keep going up, you know, basically until after the split, and I think it’s lame.
I honestly just think it’s really, really laying battery day is supposed to come September 22. Okay, and let me be very clear, here’s what’s gonna end up happening, in my opinion, in this whole situation, okay, kind of got to put all these puzzle pieces together, you have everybody buying in the stock.
And when I say everybody, I mean ton of the traders, you know, around this stock, right? The stocks gonna end up essentially having the split happened, right, right around September 1. Okay. And I think ultimately, that will lead to either a big sell off going into battery date, or right after battery day, because I turn that trader money lend up coming out of the stock.
And I’ll end up making I think battery day, and the shareholder day look like a disappointment, because the stock price will be downtrending it’ll be going down and I’d be like, Oh, you know, and that’s just, I just think it’s lame, okay.
I just think it’s lame, I hate when a stock moves, just on the simple fact of its going to split so now all sudden, you know, it’s up 14 15% or whatever, today, I think it’s super, super lame, in my personal opinion, okay, now, so that covers Uber that covers Tesla.
Now, I was talking about this planet 13 situation, okay, because I have been watching something happen with the stock and I want to, you know, kind of let you guys know what is going on here. So hopefully, it saves you a little money. Okay, so Planet 13 having a great day today up 11 and a half percent, obviously.
And I put out that video last night on financial education too. You know, obviously very bullish video around Planet 13. A lot of people you know, just buy stocks because I buy stocks, obviously, we all know that.
Okay, it just doesn’t need to be said. So I come out with that video. But here’s the problem. And here’s what I’m seeing with the stock consistently. Okay, is it spikes up right at the start a trade especially after I post a you know, any video where I really go into depth on Planet 13, that’s when it really doesn’t in a massive way, okay, it spikes up huge in the morning.
But I noticed I noticed this on most mornings, okay, it will spike up huge. And look at today, it was all the way up to over $3.30 a share right way up. And then it sells off sells off. Okay. And so what I’ve noticed here in Planet 13 stock, is it seems like either.
You know, people are just putting an order so they can buy at any price and you know, toward the basically the beginning of the market, or traders are essentially kind of figuring out a little scheme where they can buy in early in the morning and try to get in right before you know people that are actually trying to go long this stock, and then basically kind of you know.
Capitalize on that, and then boom, you know, sell out the share, sell out the share. So that’s what I’ve been noticing, okay, and Planet 13 spikes at the open and right before the close on most days, if you just look at a chart for this stock, and I’ve been tracking it for, you know, a while now, if you notice this one.
It’s spiking at the opens, and it’s spiking right before the close, okay. And during the trading day, it’s kind of just doesn’t do that much. So what I think is happening here is I think a lot of people that are going long shares are just kind of being lazy about it, instead of actually putting in that order during the trading day.
They’re just putting in the night before. And you know, when a ton of orders have to process and you know, that many people selling what’s gonna happen a price, boom, boom, boom, that’s gonna send the price up.
And so a lot of people I just think are being lazy in this whole situation, they end up getting, you know, shares for not nearly as good of a deal as they could if they just waited a few hours and actually put in that order later.
The other thing the other reason I think the stock spiked right before the close and I noticed this on most days, like it’ll trade higher in the last also and suddenly, you know, 10 to 15 minutes right before the market closed.
I think people are, you know, not not a lot of people but I think there’s some traders out there that are kind of like making a kind of more of a gambling decision like maybe Jeremy will make a video tonight about plant 13 and so they go ahead and they buy the stock right before the close hoping I’ll make a video about it.
And you know, if I do, it’s great for them and they can sell out the next day in the next you know, 1015 minutes and make some little you know, bread crumb money, let’s just call it that, okay? Or the situation where I don’t make video about it.
And you know, stock doesn’t do much but they’re like, okay, you know, stock didn’t do much, but it’s fine. You know, I’ll just you know, sell out and either take a small loss or just take a small gain or just kind of end up breaking even.
But I think people are kind of taking that risk now. And we’ll see what happens today in the trading day because a trading day is not going to end on record. In this video still about 40 minutes left in the trading day as I’m recording this video, we’ll see what happens but I wouldn’t be surprised if ends up spiking kind of right before the close of the market here today.
And so if you’re going long shares plant 13 if this is a stock you’re actually want to buy you actually believe in the you know long term vision of this company and things I talked about and you’ve researched it, if you go along shares, you know.
You probably don’t buy it the open and probably don’t buy it the clothes right there just doesn’t seem like you’re getting the best prices you could possibly get if you’re buying it either those because like we talked about at the beginning of the market.
The stocks 330 plus people are paying 330 for stock you can buy now middle of trading day for 310 308307309 like you know that they 20 cents is 20 cents, especially if you’re buying 1000s or 10s of 1000s of shares of this stock. Okay, so if you’re long in the shares.
Usually just kind of wait toward mid trading day. Because it’s just it’s, I see the price movement. It’s all about that beginning and the end of the market when it comes to Planet 13 share. So hope you guys enjoyed today’s video. As always, if you don’t mind smash that thumbs up button that helps out the YouTube channel in total.
And also if you’re looking to scale your stock market portfolio, you got five figures in the stock market right now or you’re looking to invest five figures plus in the next 12 months, check out the first link in the description down there that allow you to apply and hopefully get on a phone call with somebody high up from my team.
We can tell you a little bit about a product and service we have in the market in which we can help scale your portfolio and get you to the type of goals you’re trying to reach out there. Thank you for watching and have a great day.