What’s your reaction when an experience is fun?
Last week Jim Cramer was talking about Tesla’s stock price’s recent meteoric run up. From 200 to 640 in 6 months. From 300 to 640 in the last 3 months. Yes they reported positive earnings for two quarters and yes they met production expectations. Yes they are leading the charge in electric vehicles. But they are also Fun, Cramer pointed out.
So for fun I ran some hypothetical scenarios over the last 10 years of the performance of companies whose products I use because they are fun. Some have become public too recently to be included (like Tesla ) and some have been bought by other companies. Assuming I would have bought the IPOs and owned the companies that were purchased, I would have outperformed the S&P 500 significantly. Give it a try using this website
Unfortunately I don’t own a Tesla or nor it’s stock….yet….but I’ve driven one and it’s a sh…t load of fun to drive!
Factored into fun is reliability, ease of use and sustainability. It’s not really enjoyable if it doesn’t always work, or it’s tricky to use, or customer service causes stress and certainly not fun if it is not around to use. Popularity is usually a good sign that a product is sustainable.
The more serious among us might scoff at the idea having fun in money and business matters. So what is fun?
After our basic needs are satisfied and we feel safe, if we aren’t having fun then what’s the point. Our species probably wouldn’t have lasted this long not to mention being so dominant if we were getting a regular dopamine fix.
Sustainable living and investing should factor be fun….our survival depends on it!