tesla! >> i think there's a chance it trade out from current levels, but i will continue to say that the upside in tesla is significant from the levels wooe currently trading. >> why is there upside in the stock? >> because they're believers. >> that's gone through the mono and in fact, we're betting on half a million cars by 2008. >> then we're having interesting things. you're buying a dream. >> so then why do we care about deliveries. and rarely will i have it? >> where is the upside? >> how high can it go? >> no. where is the upside in the valuation? >> he talks about the power grid and revolutionizing. if tesla can somehow figure it out. >> if it comes out with a pup trick that would be upside, wouldn't it? if they could tap into that market. >> i am a pickup guy and i own several and that is a giddy up to me. >> and a couple of them, i said. not seven of them. >> your choice. but my choice is the one they own which is facebook right now and the reason i rolled up and i still wanted to

until tesla completely implodes, unless tesla completely implodes, it is so hard to reach them. they aspired to be, and their image is, they are an electric porsche. they are superfast and they don't pollute. there is an aura about them that is an f-150 or a corvette just cannot touch. emily: jamie from the heart of motor city, our bloomberg news auto reporter. thank you. in addition to facebook earnings, the social network is stepping up its review of controversial videos involving crime and suicide. this after recent murders in cleveland and thailand were both posted on the site. ceo mark zuckerberg says the company will hire an additional 3000 workers, on top of 4500 reviewers already employed. facebook has been criticized for not doing enough to prevent these kinds of videos from spreading. i spoke to coo sheryl sandberg, who says the social network does not take fake news lately or violence. this is bloomberg. >> we haven't seen any impact on revenue, but we take all of these issues really seriously. we know people want accurate news on facebook. we have announced a number

.>>> the trouble at tesla tonight. the electric carmaker is facing serious questions about workers safety at its fremont factory. maria medina is there tonight with what employees are revealing and tesla's response. >> reporter: tesla is not remaining silent tonight. they are speaking out but so are tesla employees who say enough is enough. >> i am burned out. everyone in the area is. >> reporter: jonathan gorski was one of several tesla employees who told cbs this morning they are overworked into exhaustion. >> there were four of us doing a six man job. >> reporter: a report by health and safety advocacy groups show injuries at the fremont factory 31% higher than the industry average in 2015. the rate of serious injury is double the industry rate. >> it is coming from a small number. >> reporter: tesla management says there is another side to the story. >> it is not reflective of the environment that you see. >> reporter: kpix 5 spoke to a current tesla factory worker who wanted to remain anonymous. he claims "he sees

reporter: i think the bulls, the levers of tesla and fans of elon musk, -- lovers of tesla and fans of elon musk, have a lot to be happy about. this is a company that has no often delayed project launches, and now they are two months away track.theyand is on are going to get to 5000 illegal this year, 10,000 a week by next year. suppliers are ready. a lot for them to be happy about and be excited about. but of course, it's not the most explicit sort of earnings report. the bears are kind of winning now. there's fake news on the guidance of the s and the x, and wondering whether spending is not as heavy as anticipated. a lot emily: to chew on. the model three will be the car, mark -- mass-market and you wonder if the owners will be as forgiving as owners of the model s or the model x. in terms of quality expectations for the model three, how optimistic are you? reporter: it is paradoxical. productct $100,000 vehicle or any other product to be much better than one that sells for half or third that amount. but there is an issue that when somebody buys a model three, it might be there only

gary, question what tesla is. it is no longer called tesla motors. they do so much everything from batteries to space travel. i'm wonder if they're into too much right now? >> space travel is separate. talking about batteries and solar panels for the roof. they're involved in a lot of things. it is this big ecosystem elon musk is trying to put together under thes it la brand. it is still primary a car company. it needs to make cars. it needs to sell cars. the next big hurdle is later this year when the new model 3 comes online. that will need to be a clean launch. they need to ramp up by the end of the year to 5000 units per week, 250,000 units per year they said they would be able to do. david: jonathan, look at that stock price. a year ago, it was $212 a share. it is now 316 a share. nothing that elon musk does tends to hurt the stock. it just keeps going up. >> i hated company. exploding batteries, cost of models or even the low cost of gas. as gary pointed out it is not only a car company but it is an innovation company. ford at a 52-week low. te

furthermore, tesla wrote in a statement: we are going to hear from one of the managers here at the tesla factory coming up in the next half-hour. right now live in fremont, anne makevoc, kpix 5. >>> you can see much more of the interviews with the tesla employees on "cbs this morning" at 7 a.m. >>> today in brussels, president donald trump is set to attend his first nato summit as his nine-day foreign trip nears its end of the the fight against isis will be a key topic of discussion. >> nato joining the isis coalition, we do think that would be a really important step for them to take. they have been an observer. >> thousands of people took to the streets of brussels to protest our president's travel ban and border wall proposal. after today's nato meetings wind down, president trump and the first lady head to italy for this year's g7 summit. >>> today our state senate considers the consequences of bringing a single payor healthcare system to california. kpix 5's jackie ward is live in our newsroom with the stakes involved in today's vote. >>> reporter: this vote comes at a time when at

tesla is down about 2%. it also put in record highs and the company basically preannounced and said they delivered .5 million vehicles in the last quarter. what will overshadow everything else is the model three schedule. they now are saying they will start production on the second half of the year and by the end of production, on pace to deliver 5000 cars are weak, astounding considering 25,000 overall for the past quarter. finally, square down ahead of their earnings report. the options action is really suggesting there could be an 11% move up or down. scarlet: thank you. >> nine years ago, an investor made a ten-year bet with warren buffett and the wager pitted active against passive. with one year left in the that, it is clear buffett will prevail. he reflects back on what he is learned in a bloomberg review column. he writes warren discusses a bet explaining the high seas active management charge created a headwind. he is correct it is high and his reasoning is convincing. it is just not the whole story

phil lebeau has more on tesla's quarter. >> reporter: in reporting its first quarter results, tesla gave some insight into two important issues that wall street will be focusing on in the days to come. first of all, with regard to the model 3, that's the mass market electric vehicle set to go on sale later this year, tesla says production is scheduled to begin in july of this year. that's the vehicle that they expect to sell for about 35 or $40,000 when it goes on sale. the second point is, tesla says it expects to have vehicle production at a rate of 10,000 vehicles per week at some point in 2018. and if that happens, tesla will meet the goal it set some time ago to produce vehicles at a rate of a half million per year by 2018. phil lebeau, "nightly business report," chicago. >>> facebook, the last of the top five u.s. tech companies to report, and it may have been worth the wait. the company saw profits soar more than 75% from a year ago. its lucrative mobile ad business continues to grow, and nearly 2 billion people were using the social media service every month. but in after hours t

. >> trouble at tesla. the carmaker is facing questions about worker safety at its fremont factory. carter evans looks at employee claims and what tesla's reply is. >> the vehicle itself is an amazing, you know, accomplishment. >> reporter: it's how they get it built. >> what we have to go through to make it for them. >> reporter: these four workers say the assembly line in the factory of the future is behind the times when it comes to safety. what is the chief complaint here? injuries. injuries are the number one problem there. >> burned out, everybody in our area is. we are trying to run as hard as we can. >> reporter: this tesla body repair technician wants workers to unionize. on the advice of the united autoworkers union, he legally obtained three years as internal reports from the company. an independent analysis of the numbers found that in 2015 tesla's injury rate was 31% higher than the industry average. the rate of injuries that result away from work was double. >> i don't think it's reflective of where we are currently. >> reporter: the human resources director says safet

. >>> tesla employees are revealing some troubling news. they say the company's growth is costing them their safety. kpix 5's anne makovec is live outside the factory with more on their claims. anne. >> reporter: yeah. publicly we see these shiny new state-of-the-art electric vehicles coming out of this factory here in fremont. but behind closed doors, some employees say that tesla is putting its products over its people and some new numbers by a workplace safety nonprofit appear to back that up. the nonprofit is called work safe. it says that injuries at the fremont factory was 31% higher than the industry average in 2015 and serious injuries double the industry rate. tesla employees say they were worked to exhaustion. >> literally like four of us doing a six man job burned-out everybody in our area burned- out. >> not really reflective of the environment that you see here. and that you'll hear from the rest of our employees. >> reporter: now, we did hear from a current tesla factory worker who wanted to remain anonymous. he says, do i see

your thoughts on tesla? >> quote, get it. it is truly an innovative product, but it's pretty tough to make the numbers were. they frankly just don't seem to matter for this company. this company raised a billion and a quarter a few months ago. they will have to come back to wall street sometime real soon to be. i don't see this company make money in a cap basis until 2020. lauren: still figuring out to figure out what kind of company they are. otto, technology. good to see you. >> thanks for having me. nicole: lebron james and the cleveland cavaliers dominate the toronto raptors. in hockey, the playoff pittsburgh penguins pushed the washington capitals to the brink of elimination. we will have the highlights. stephen colbert doubles down on his criticism of president donald trump. we will have it for you. you are watching "fbn:am," your first look at morning markets and breaking news. ♪ nicole: no apology from stephen daubert. the late night comedian doubles down on this island attacking the president. he continues to make

tesla results are out. let's go straight to phil lebeau with the report. >> reporter: kellie, it is a wider than expected loss from tesla. a loss of 1.33 per share. the estimate was for a loss of 82 cents per share, but revenue better than expected at 2.7 billion for the quarter. what everybody will be focused on, what is the company's guidance when it comes to the model three. remember, production has been scheduled or they've talked about starting it in july. they are saying they are scheduled for that production to begin in july, and that at some point in 2017 they expect production to hit 5,000 model three vehicles per week, and that goes up to 10,000 vehicles model three vehicles per week in 2018. again, that is the early guidance in terms of model three, which is really what will be moving this stock. the company reporting a wider than expected loss, slightly better than expected revenue. but the model three guidance, i think that's what's going to be moving the stock. guys, back to you. >> phil, if y

response. >> tesla motors are regarded asd the car of the future. today the oakland based nonprofit work safe posted this report conducted after it was approached by the united auto workers union. the big headline, workers there were injured at a much higher rate than the industry average. for example in 2015, for every 100 tesla workers, 8.8 were injured. the industry average 6.7. >> tesla is about 30% higher than the industry average in terms of overall injuries. and more than double the industry average in terms of more serious injuries. >> tesla sent abc7 news a response, we have had some challenges in the past as we were learning how to become a car company. but what matters is the future. and with the changes we have made, we now have the lowest injury rate in the industry by far. work safe says more than half of the injuries at tesla arer go nomically related. you can expect more testing on tesla in the coming months as the push to unionize comes up. >>> north bay based employmen website asked people how often they take vacation or paid time

he said markets are too optistic about tesla. for the time being, investors remain hypnotized by the ceo. he say we are skeptical the company will be able to mass model in margins that -- the enthusiasm for tesla and other what he calls bubble basket stocks is reminiscent of the march 2007.com bubble. as was the case then, the bulls rejected met methods for a happenedful of stocks that seemingly could only go up. we don't know when the bubble will pop. it will. how would you respond to that? >> well, look, on tesla, i agree there's a very robust set of asunlgss that are built in to its valuation. you effectively have to believe that tesla becomes bmw or mercedes in size with superior profit margins to justify valuation. now, the big debate is can they do that. now, i think there are a lot of questions about whether the model 3 can be delivered in volume and delivered profitably. we probably won't know the answer for another year, but that's the key to the story. i think the bulls would say tesla defied wisdom many times before. n

. >>> tesla is facing tough questions this morning. officials want to know if some workers were put in danger at the fremont factory. maria medina reports. >> reporter: tesla isn't remaining silent. they are speaking out. but so are test will employees who say enough is enough. >> we're all burned-out. >> reporter: jonathan is one of several tesla employees who told "cbs this morning" they are overworked into exhaustion. >> four of us doing a six man job nonstop running a marathon. >> reporter: a report by health and safety group shows injuries at the fremont factory 31% higher than the industry average in 2015. and the rate of serious injuries about double the industry rate. >> it's coming from a small number. >> reporter: but tesla management says there's another side to this story. >> not really reflective of the environment that you see here and that you'll hear from the rest of our employees. >> reporter: kpix 5 spoke to a current tesla factory worker who wanted to remain anonymous. he claims, quote, do i see unsafe practices? yes

we will hear from the ceo and later tesla shares sank 5%. fear not. the analyst called for the stock to hit 300 is back. he says the run is far from over. first, oil having it's worst day since november 30th of last yoomplt get a break down on the move, a man whose spirit never gets crushed. dom chu. hi, dom. >> it will take more than a crude crush to get me down. just like when traders realized supply and demand dynamics aren't favorable for higher prices. this week we saw u.s. government numbers that showed a smaller than expected draw in u.s. oil inventories and got softer demand for gasoline numbers. no surprise the bearish action oil prices filtered into the oil stocks as well t. s&p oil sector was the worst performer in the large index by a wide margin and the vast majority of the day's biggers laggers were oil and gas related overall by exploration and production stocks, like chesapeake energy, marathon oil, murphy oil, amongst others. around half of all members of the energy sector can be characterized as being in bear market territory or at l

you don't have to go to ford or tesla. look how much m & a has been driven by this move, with intel, harmon cardon got bought by samsung. >> he said ford, but -- >> i think ford is an easy one. >> you just want to play so badly. >> i'm giving the benefit of the doubt until we know that the model 3 is going to be coming out at some point. >> can i ask a question, though? >> do you want to play? >> i'm already playing. the requequestion to me is, tes in the disruption of mobility, period. why shouldn't ford be able to compete with their balance sheet, free cash flow and the fact that they're already there? why shouldn't they get a piece of the valuation the same way that tesla is? they're talking about it on some level, not a lot different than the -- >> you're saying ford in the battle of ford versus tesla? >> absolutely. that should not be a surprise to anyone on this desk. >> to the risk/reward -- >> everybody's playing by their own rules. >> like frat night. >>> president trump continuing his first international tour sin

enthusiasm for tesla is reminiscent of the 2000.com com bubble." is that going too far? is a frustrating trade for the shorts because it is a car company and the product cycles are long, soap to prove won't be three profitable enough to justify this by a wish therefore a correction, it is a long wait. the car will be out late in the year in small numbers and we won't see full production until be ayear, so it could while before you have a picture of how profitable this company will be. up with theuld stay usual volatility corrections, but without a big correction for a while, so there is time that will have to pass before if it is a bubble that it does pop. vonnie: i'm looking at the short interest in tesla, something like 26% of the float. have a look at the market cap for both companies. general motors and yellow, tesla point teslat one has overtaken gm, and now back below gm. what is green light and david einhorn trying to get gm to do? >> he has been a general motors on and off for five years, and he thinks the company is under fight because the

again, that is the tesla story. these are probably two of the most hotly anticipated earnings stories out there. they are very much going to impact the open on wall street. reaffirmed the model three which seems to be reassuring for investors. did elon musk learn from his mistakes? thank you. let's look at the latest business headlines. won posted a small of an estimated profit. to $315me climbed million, almost three times the result from a year earlier. loans grew 7% for the year. r.b.i. data shows annual credit growth in india's financial system was the slowest since 1992. showing signs of stability after a rocky decade. profit coming in out $1.2 billion -- coming in at $1.2 billion. their ceo has said he will step aside was the board identifies a replacement. shares rose 1.5%. fitbit surging after giving investors could news. they are reporting -- could news. -- good news. they are reporting positive revenues. they have been facing competition from lower cost devices and smart watches from apple and samsung. mor

response. >> tesla motors are regarded as the car of the future. today the oakland based nonprofit work safe posted this report conducted after it was approached by the united auto workers union. the big headline, workers there were injured at a much higher rate than the industry average. for example in 2015, for every 100 tesla workers, 8.8 were injured. the industry average 6.7. >> tesla is about 30% higher than the industry average in terms of overall injuries. and more than double the industry average in terms of more serious injuries. >> tesla sent abc7 news a response, we have had some challenges in the past as we were learning how to become a car company. but what matters is the future. and with the changes we have made, we now have the lowest injury rate in the industry by far. work safe says more than half of the injuries at tesla arer go nomically related. you can expect more testing on tesla in the coming months as the push to unionize comes up. >>> north bay based employment website asked people how often they take vacation or paid time

tesla shares up 75% sense trump was elected. so musk withdraws from the count sim, what could that mean for tesla shares? he certainly has been the posterchild in terms of what everything trump lovers, manufacturing, tech lo knowledge cal advances, hiring. >> i don't think that's been behind the tesla rally. i think it's been a part of the story. clearly the tesla rally has been about shifting into higher gear of the autonomous driving story, ever intrinsic value. i think that's the reason why people are on tesla. not because he's flooded the zone. >> i don't think anybody necessarily sold tesla because he was working with president trump. i think it's probably a tailwind here, if anything, but the story still remains that this is a play on the decarbonization electric grid. >> i don't love your covfefe on thisp toic. i want to be clear. >> is is that how you are announcing it? >> that's how we're doing it. >> is that friend snch. >> so here's the deal, this stock is up 80% from the day elon muck walked into the tower december 2

used tesla, there seems to be a lot on the market given the size of the overall population of tesla. i was wondering why there were so many 2015, 2016 tesla's have appear to be up for sale. >> i think they're highly visual but generally owner satisfaction is very high. now there could be people who are either disappointed in the car, which would be the small minority. tesla also have a loaner fleet and -- that it uses. so some of those loaner cars may be going into the used car market. this is a company generally that has extremely high customer satisfaction and consumers generally love the product. as you mentioned brian, the residual and resale values haves held up very very well. >> toni thanks for joining us. >> my pleasure. >>> when we come back, the good, the bad and the ugly. all of that in today's trading. stick around "power lunch" will be right back. ♪ predictable. the comfort in knowing where things are headed. because as we live longer... and markets continue to rise and fall... predictable is one thing you need in retirement to help protect what you've earned and ensur

all eyes of course on facebook and tesla shares. both lower even though facebook hit another high earlier today. they're fading a little bit closing off. tesla, widening losses 81 cents a share. watch model 3 news, this is the model for the masses. that is how it is characterized. the rollout date is july. you want to see if they stick with that schedule. this is what drove shares of tesla to earlier records. back to you. liz: thank you very much, lori rothman. as we're witnessing right now since election day, politics has really been affecting money and moving stocks. your money, your stocks, three sectors may have seen some of the biggest impact, biotech and pharma. you remember president trump says he needs to overhaul the health care system. they are quote, getting away with murder with high drug prices. telecom, fcc under president trump is pushing to remove net neutrality and for-profit colleges made a resurgence, when the president was elected because he would roll back some obama era rules that were stymieing some of these c

tesla will be dependent on the model 3. all of the other nonsense notwithstanding, at the end of the day, the company is not worth what it is trading at today on its current business. if you don't believe me, just look at what elon musk was quoted in the papers as saying. he himself says the stock is not worth $50 billion. erik: i think he said the market was being generous. he said a little bit more. jim: it was a response to worker safety issues but it's a very i ". -- eye-opening quote. they must succeed in making a mass production car, the model 3. erik: and if they are successful, tesla is no longer a short? marketey have a greater than the rest of the manufacturers and are coming up on bmw. this is really to me one of the poster boys for this market. a lot of the evaluation of a tesla is based on the come. everything that will have been 2020 and 2025. in an environment where people expand their horizons, you can get a valuation like this. but an environment where people get scared or the capital needs overwhelm the co

and speaking of cars, for years, tesla offered owners a nice perk. they could charge their cars for free at any of its super charger stations. but in january, the company said it was phasing that program out. however, tesla says new users can still take advantage if they get another driver to give them a referral code. they can get free unlimited charging up to five friends. they can still get free charging if they decide to own another tesla. get another tesla or get another friend. >> you have to wait forever. >> scrape together $85,000 on top of that. >> a south bay flood control project is reportedly now in danger of being stopped because of unforeseen costs. a ballooning budget now threatens the flood protection project for two miles of the upper creek south of milpitas. work on that $35 million project got under way in october, but now it's in limbo because of the cost tied to an added wetland restoration requirement. the district is now appealing that new requirement and threatening to sue. >> we just saw this from our cameras a second ago. th

tesla said they were deeply saddened by the crash. ch p is asking anyone who witnessed the crash to give them a call in dublin henry lee atv you fox 2news. >>> the accident caused backup on 580 that stretched for miles. the shots from sky fox showed traffic creeping through the area after the lanes reopened shortly around 1:45 pm. stay with us for continuing coverage, working to bring you the latest in all of her newscast as well as on facebook, twitter and are ktvu mobile app. >>> knew it 6 police in berkeley say they for -- they've recovered $500,000 in stolen goods from drugstore robberies in alameda county, officers found the stolen cosmetics in a storage unit after identifying 2 people buying the stolen property. police arrested rosa jimenez and henrique rodriguez for receiving the stolen goods, please say for other suspects arrested for the robberies that took place in january and february. >>> fire officials investigating 2 more suspicious fires in contra costa county, bringing the number up to 7 this week. rob malcolm reports

tesla says safety has always been a priority but until now tesla has repeatedly declined to release its safety reports. this report does exactly that. >> the vehicle itself is, you know, an amazing accomplishment. >> it's how they get it built. >> what we have to go through to make that happen for them. >> reporter: these four tesla autoworkers say this assembly line that's supposed to be the factory of future is behind the times when it comes to safety. >> what is the chief complaint here? >> injuries. injuries are the number one problems here. >> we're burned out. we're trying to work as hard as we can. >> reporter: john wants workers here to unionize. on the advice of the united autoworkers union, he got ahold of these injury reports nchl 2015 tesla's injury rate was 31% higher than the average. the days away from restricted duty was double. >> i don't think it's reflective of where we are currently. >> reporter: tesla's human resources says safety improvements have already been made. he reports to injury numbers for first quart ore f this number which tesla says are now 32% below th

this is based on data tesla reported to the government. now the big headlines, workers there were injured at a much higher rate than the industry average. take a look in 2015, for every 8.8 workers, for every 100 tesla workers, 8.8 were injured. the industry average, only 6.7. >> tesla is about 30% higher than the industry average in terms of overall injuries, and more than double the industry average in terms of more serious injuries. >> tesla sent abc7 news a response. we have had some challenges in the past. with the changes we've made we now have the lowest injury rate in the industry by far. abc7 news recently received an anonymous letter from someone claiming to work in the plant's stamping department. the person said tesla violated overtime and day of rest rules for months. and after finally being called out is now refusing to pay back wages. expect more attention on tesla's work environment in the coming months as car production and the push to unionize both ramp up. larry and alma? >> thank you, kristen. >>> proposal to build the

>> it looks like a list of fang -- >> it's like facebook, amazon, alphabet -- >> tesla. >> tesla. and some media companies, comcast is on it for the first time. >> first time. thank god. >> nice part about the list is it looks at billions of actions of users, whereas other lists that might just be based on surveys, we actually see are they looking up jobs, looking up jobs and are they looking up employees and were they staying at the job once they actually get it. we're trying to figure out where people are telling us they want to work. >> can you figure out where people don't want to work? >> we can see what companies are on the list and off the list. for instance this year you saw a big drop in twitter but see jpmorgan got on the list for the first time. there are a number of companies that are doing really welcome paired to their competitors and it's because they are investing in talent, they're out there,

well, look what tesla is doing. they have these products that are out there with auto pilot, the model s and model x, and while some people will snicker at them and say look, they haven't been tested all the way and they were rolled out before they should have been rolled out, the investor looks at that and says these guys are going in the future with the technology that's going to work. where's ford? where's gm? where's fiat chrysler, the other auto makers of the world? they are all working on it but we see most of the proof, if you will, from tesla. >> phil, thank you for that. busy morning for you. what a story. phil lebeau in chicago. see you in a little bit. let's bring in cara swisher. once again, we are back to this conversation about whether the new era of mobility's going to come from detroit or silicon valley. >> right. absolutely. it's been the ongoing debate. it's interesting because a couple years ago, you recall we had -- two years ago, we had mark fields at code and he didn't do very well. one of the

it's also a profitable company, unlike tesla. and the problem for mark fields is he's made these huge investments that he eventually thinks will pay off, and most people believe that they will pay off. the question is when. two years, five years, seven years? and how patient do you have to be as an investor? that's the pressure on ford. >> is ford the hot brand? or has gm sort of surpassed it because gm touts that they've got lots of models, including their trucks that are doing very well. i sense that gm may have a little bit more of a hot factor attached to it. >> reporter: i would say it has more momentum. it has a younger lineup of vehicles right now. and that is helping general motors. but really, when you talk about the hot brands out there, look at what's happening in the other company in detroit that nobody talks about very much, fiat chrysler. you've got jeep, you've got ram, two of the hottest brands out there. >> phil, as always, thanks so much. phil lebeau in chicago. >>> toyota issued a downbeat earnings forecast, sa

an exclusive look at tesla's next big thing. we will show you where in the bay area this yet to be released tesla model was spotted. >>> and we have jimmy. >> hey guys. jamie foxx is my guest tonight. talking music with nall horn. >>> happening now, president trump is in italy for a meeting of the g7 leaders. it is a tough debate which is expected on the issues, including trade and climate change. we have updated that story on ourp website. back with more news in a moment. and accused of attacking people at a rally for presdient trump. ==take vo== >>> a bay year college professor has been arrested and accused of attacking people at a rally for president trump. the video of the vie lens was posted on you tube. here it is. berkeley police say the former professor eric clamp ton hit at least three people in the head with a lock. that was during a rally in berkeley last month. the video quickly went viral on right-wing website. he is due in court tomorrow. >>> carlos rojas is the first latino to lead the transit agency. last month y

involving a tesla bus.. that killed an alameda county deputy. >>> now at noon, investigators are getting ready to release new details on a crash involving a tesla bus that killed an alameda county deputy. good afternoon, i'm michelle griego. >> i'm kenny choi. the deadly crash happened at the height of the morning commute along interstate 580 west of tracy just after 7 a.m. traffic was delayed for a few hours but the road is now open. kpix 5's allen martin has the latest from investigators. >> reporter: the story of course still very much developing. law enforcement is going to hold a press conference shortly. we'll show you a live look outside the dublin chp facility where officers will update us with the very latest and when that happens, we will go right to it. but first, let's walk you through this morning's events. we have video from chopper 5. the alameda county deputy who was killed was riding in that vw beetle. you can see the extensive damage to the back end of it. it's pretty much destroyed. invest

why tesla? >> well, we are bullish because what we lay out is that if you can paint a scenario where they grow to be even only 1% of the global miles driven by 2030, generate.50 over a mile over ten to 15 year period, there's a case where waymo as a stand alone entity is worth $70 billion from an enterprise value perspective to alphabet. they are part of the other bets in alphabet's overall pnl, it's material because we often say which of the other bets move the needle. punch line is it's waymo because alphabet right now is about a $600 billion company, if you say how big can it be? add 12% to that. >> right. so, my question, brianings though, why is it not a threat to uber? why a threat to tesla? >> well, so, knowing today is a joint note with the tez la and analysts, and i would say on the tesla side, when adam downgraded tesla, we got cautious because there are large players like alphabet who are building their own autonomous entries and interest in the industry. waymo is one of those, so i w

the base tesla model three will be $35,000. like, oncell be more you get a $7,500 credit, it will be $30,000. similar price point. the range will be very similar. both over 200 miles. they are very interesting comparisons. tesla will be more upscale. we put a mark cost in the powertrain. options would be closer to sort of a bmw three series. emily: you estimate that gm is losing $7,400 on every car. there are estimates tesla will be losing $2800 on every model three. how do they stand the losses and close the gap? >> the big driver will be battery cost. we're only assuming gm will sell about 30,000 bolts a year. that's a low number, so the costs are not spread out over a lot of units. the big driver going forward their battery costs are going from over $200 per kilowatt hour today, and it will be around $130 per kilowatt. we assume certain components have a good step function on the ed powertrain. that will help the above average cost decline. that narrows the gap from about $3000 premium to around 2025.m by when you look at th

the kinds that have happened with other tesla models. emily: let's talk about tesla compared to the other automakers. it is now the most valuable automaker by market cap. are investors to optimistic about tesla, like einhorn said? >> well, that's the beauty of the marketplace, right? they get to debate it out and they do it with their dollars. we still see about 20% of tesla's float is shorted. there are a lot of people who agree with mr. einhorn, that based on its fundamentals, it shouldn't be worth more than gm or ford. but it is all on this possibility, what he could bring, if the model 3 is a success, and if it builds beyond that in becomes a truly global maker of electric vehicles, and if it can do so profitably. selling the model s and x, the gross profit margins are pretty darn good. but can you do that when you are selling $50,000 and $30,000 cars? will there really be an ongoing 100,000 unit market worldwide, even with china in the next? is there going to be enough demand, year after year, decade after decade? that is the real t

text oh tesla -- tesla coming larger loss than predicted. it did attempt to reassure productionn the schedule for its model three. some analyst have questioned is the case. as those questions have come beenthat seems to have 72ing the -- spurring the stocks lower. >> back -- house members debating the healthcare bill on capitol hill. you can see it's a critical test for the trump administration. paul ryan.eaker ant vote is expected within hour. is kapurs now on hill and congressional reporter anna. askme begin with you and you, there wasn't the vote for ahca. there does seem to be the votes aaca with amendments. >> what happened in the final stretch, two critical amendments moderate republican hold outs and conservative hold outs. the amendment which allowed states to get out of two requirements. one is that insurers can get out where benefit standards they can charge sick people more. won over thet house freedom caucus. ban of about three dozen conservatives. pretty hard core. not compromising. the final thing was $8 billion proposed bybout

jan all has been tracking tesla's pace for years, and joins us from san francisco. are these self-inflicted wounds or something that has been conspiring against tesla? >> tesla has not been model.ming about the voestalpine wing doors were not easy to engineer, and i think -- note falcon wing doors were easy to engineer, but i think they have learned their lesson and will and will and that with the model three. tesla is in this spot where the model s is their flagship, they have the model x, and now they have the model three, another sedan. where does the x fit in this lineup and what is demand like going forward? has pointed to this thetweeted "we are making simplest model three first, like the s. we did not do that with the x because i was an idiot." tesla has stressed over and over again on recent earnings calls that this model three is designed for manufacturing and will be simpler with fewer configurations. it is a mass-market car without all the bells and whistles of the model x. so i think the x have growing pains, but they learned a lot from it. scarlet: and

now, should i say you are long tesla, that you'd buy tesla or are specific that you like a certain piece of the debt here? >> we love the convertible bonds, and the reason we love convertible bonds is that it gives you all exposure, to be precise, 95% of the exposure to the upside that the equity does, but unlike the equity, if the equity somehow gets impacted, if they can't raise the money they need to finance a car, your completely protected. basically, you get a costless five-year call on one of the greatest entrepreneurs. >> what's the price? >> trades at 0 yield. when we started to buy it, it was yielding 5.5%. which you can imagine tesla now has been paying you to basically go along the ride with them for five years and see if they pull it off. >> what does it convert to? >> in equity, premium of 5% of today's current price. it's incredible, effectively like buying equity, but protection of a bond. >> people say, well, problem with the tesla debt is, you know, maybe that's not serviceable at some point. if that's true, i understand you're calling into question the entire company wh

that's the bet you're make on tesla right now. >> based on what? >> elon musk, what brian just talked about, the fact that they're getting headlines now potentially moving into china. all things that are extraordinarily positive. the thing that i take away and i've said it for a while is, i don't think the institutions that own this stock in earnest will sell it here $100 down side from here. if they sell it, and trading $80, not $280, that might not make sense. but they have bought into the story, like bflt k. has, this stock is one -- i don't know who the inkr emental seller is. >> for this conversation, we're talking about the fab five stocks. isn't that true for all of them? there probably won't be too many incremental sellers. >> here's my understanding of how something like amazon is trading. if you talk to core internet players, i think it's the crossover guys keeping the stocks at valuations that are -- i think much higher than they probably should be in the case of amazon and tesla. you get to a place here where if you have positioning in

back to you guys. >> thank you. >>> tesla relaeased a statement saying, quote, all tesla employees on the bus are safe and accounted for, however, we are deeply saddened by the reports that there was a fatality as a result of the accident. we'll lend any support we can to the authorities investigating the incident. abc 7 news comets to bring the latest on the breaking story. get the latest by downloading the abc 7 news app. >>> other news now, developing in east bay, two more suspicious car fires in the middle of the night. that brings the total to 7 this week. we want to give you the timeline of how the fires unfolded. the first happened monday in martinez with a car torched in the driveway of a home. wednesday, the same scenario. that time, the fire set in front of the a house where a family was sleeping inside, and two more yesterday in brentwood. this time, flames even spreading to the home damaging a garage in the contents of the side, and then this morning, another two, one in walnut creek and lafayette, and it looks to be the work of a serial arsonist. we are live in walnut cre

tesla started from the premium market. that is why we not competing against tesla. we are colleagues in promoting electric cars. each one is investing from a different segment of the market. there is much more attractiveness for premium cars, sports cars, then the common cars of the core market. charlie: much more attractiveness? we want to write about them and talk about them. how much of the future of transportation or a look -- are electric cars? carlos: in urban regions, we are predicting 25% of the cars sold in cities will be electric by 2030. particularly in urban concentration where you have over 50% of the market. emissions driven by and the fact that in many cities we're starting to see a lot of restrictions on circulation of , gasoline cars, etc.. also, i am telling you things you of art he talked about in interviews. it depends on how fast they can get up to speed with power stations. carlos: exactly. consumers are looking at the sticker price. why tesla is is trying to develop as fast as can.can. -- as it carlos: from 92 million cars, 500,000 were electr

that is tesla. tesla has yet another record high. we have a great chart of this stock all of the way from the ipo back in and look at 2010. that. the stock is up more than 1800%. it is not clear what drove the stock higher, maybe just technical momentum. but those gains over the last years really speak to investors cheering elon musk's vision and passion for the electric vehicle market. emily: all right, amazon testing -- passing the $1000 milestone. tell us what happened. abigail: a very exciting day, a lot of people talking about the race between amazon and alphabet. it happened for amazon this morning, just slightly above $1000, and here we have another great chart from amazon's ipo. all the way back in look at 1997. that. up 51,000%. most of the gains have come in the more recent years. this really reflects the company move into the cloud with amazon web services plus their , dominance in e-commerce. speaking of that, let's take a look at a chart in the bloomberg. it is a long-term chart. in white we have the market cap of walmar

and general motors. >> it's good for tesla. that's all i can say. >> charlie: general motors is 70,000 versus -- >> 10 million. it means for some companies people are looking much more in the future than the present and for some companies they're looking much more in the present on that the future. tesla benefits and it's good for them that people are betting on what they'll do in the future. >> charlie: called betting on the calm in some circles. >> for nissan and renault the bottom line of today is the main driver it and we don't get much credit for the. . >> charlie: at the same time didn't you have an electric car before we even thought about tesla? >> we did. we are the biggest seller and producer of electric cars today but we'reuj not addressing the premium market the core of the market. $30,000, $35,000 and tesla start from the premium market. we're not competing. we are in a certain rate colleagues to promoting certain cars each addressing it from a different segment of the market and we know there's more attractiveness

so, tesla. the guardian. they have interviewed 15 people working there. even though elon musk is presented asa even though elon musk is presented as a 21st century futuristic man, tesla, this amazing, clean, revolutionary disruptor, the kinds of things you see when companies have really high production targets, thatis, have really high production targets, that is, a decline in health and safety is what we will see. that is what we are seeing in this piece. people are struggling. 10,000 workers. they have been called in for fainting, workers. they have been called in forfainting, dizziness, chest pains. and elon musk says we are not a giant behemoth, we are losing money. don't be unkind. but look at apple in china. people are struggling. we will have to leave it there. that was really quick and fun. it was! good to see you. hello there. well, the rain arrived earlier than forecast across the south—east of england during thursday afternoon and it's continued to move slowly northwards. but brought a very wet night for the south—east of england, east angl

would look sharp in nbc bay area tesla model three. >>en a just drive us around. >> 215 miles on a charge. >> for personal car i'd go all black. >> tint it up. >> ooh on the streets now take a look. >> it's going to be good. >> all right we are looking at great weather heading through the upcoming weekend. a little bit warmer. good news not too hot. ===jeff@ ck=== >> a look right now from the weather underground sky camera network. fogged in at point reyes. cooler folly air brought us below average temperatures from the upper 90s starting the week in concord to 70s. again, below average. we should be at 78 this time of year. i do think tomorrow's forecast will also offer numbers below where we should be for this time of the year. 67 in santa rosa. 63 in san francisco. a chilly 57 for half moon. and 72 in san jose. things warm up by memorial day weekend. as we talked about, no 90s, no 100s abyats on and 83 degrees, the extended does show temperatures eventually dropping back down to 70s as we head through next thursday. if you are headi