SpaceX disclosed it bought $637M total in Tesla products (Megapacks + Cybertrucks) in 2025, recorded as PP&E. If these intercompany sales are inflated or non-arm's-length, Tesla’s reported revenue and earnings may be overstated, exposing downside risk when the accounting is scrutinized. The “infinite money glitch” thesis suggests Tesla’s growth is partially fabricated via related-party transactions, warranting a short position on valuation risk. Transactions could be legitimate capital investments; SEC/auditors may not flag; Tesla’s core business may still be strong.
SpaceX disclosed it bought $637M total in Tesla products (Megapacks + Cybertrucks) in 2025, recorded as PP&E. If these intercompany sales are inflated or non-arm's-length, Tesla’s reported revenue and earnings may be overstated, exposing downside risk when the accounting is scrutinized. The “infinite money glitch” thesis suggests Tesla’s growth is partially fabricated via related-party transactions, warranting a short position on valuation risk. Transactions could be legitimate capital investments; SEC/auditors may not flag; Tesla’s core business may still be strong.