NasdaqGS:TSLA

Stock Analysis Report

Executive Summary

Tesla, Inc. designs, develops, manufactures, leases, and sells electric vehicles, and energy generation and storage systems in the United States, China, Netherlands, Norway, and internationally.


Snowflake Analysis

High growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Tesla's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TSLA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.7%

TSLA

-11.8%

US Auto

-2.0%

US Market


1 Year Return

74.6%

TSLA

-11.8%

US Auto

-15.1%

US Market

Return vs Industry: TSLA exceeded the US Auto industry which returned -6.3% over the past year.

Return vs Market: TSLA exceeded the US Market which returned -14.9% over the past year.


Shareholder returns

TSLAIndustryMarket
7 Day-6.7%-11.8%-2.0%
30 Day-33.8%-36.8%-19.7%
90 Day8.4%-25.3%-23.2%
1 Year74.6%74.6%-9.1%-11.8%-13.4%-15.1%
3 Year58.7%58.7%-2.3%-10.5%10.9%3.7%
5 Year127.6%127.6%-5.4%-21.5%28.4%14.4%

Price Volatility Vs. Market

How volatile is Tesla's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tesla undervalued compared to its fair value and its price relative to the market?

40.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TSLA ($454.47) is trading below our estimate of fair value ($807.52)

Significantly Below Fair Value: TSLA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TSLA is unprofitable, so we can't compare its PE Ratio to the Auto industry average.

PE vs Market: TSLA is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TSLA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TSLA is overvalued based on its PB Ratio (12.4x) compared to the US Auto industry average (2x).


Next Steps

Future Growth

How is Tesla forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?

52.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TSLA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: TSLA is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: TSLA's is expected to become profitable in the next 3 years.

Revenue vs Market: TSLA's revenue (19.2% per year) is forecast to grow faster than the US market (7.1% per year).

High Growth Revenue: TSLA's revenue (19.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TSLA's Return on Equity is forecast to be high in 3 years time (22.5%)


Next Steps

Past Performance

How has Tesla performed over the past 5 years?

-15.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TSLA is currently unprofitable.

Growing Profit Margin: TSLA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TSLA is unprofitable, and losses have increased over the past 5 years at a rate of -15.2% per year.

Accelerating Growth: Unable to compare TSLA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TSLA is unprofitable, making it difficult to compare its past year earnings growth to the Auto industry (-14.5%).


Return on Equity

High ROE: TSLA has a negative Return on Equity (-9.56%), as it is currently unprofitable.


Next Steps

Financial Health

How is Tesla's financial position?


Financial Position Analysis

Short Term Liabilities: TSLA's short term assets ($12.1B) exceed its short term liabilities ($10.7B).

Long Term Liabilities: TSLA's short term assets ($12.1B) do not cover its long term liabilities ($15.5B).


Debt to Equity History and Analysis

Debt Level: TSLA's debt to equity ratio (146.7%) is considered high.

Reducing Debt: TSLA's debt to equity ratio has reduced from 273.3% to 146.7% over the past 5 years.


Balance Sheet

Inventory Level: TSLA has a high level of physical assets or inventory.

Debt Coverage by Assets: TSLA's debt is covered by short term assets (assets are 1x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable TSLA has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: TSLA is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 0.9% per year.


Next Steps

Dividend

What is Tesla's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TSLA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate TSLA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TSLA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TSLA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TSLA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.1yrs

Average management tenure


CEO

Elon Musk (47yo)

11.5s

Tenure

US$2,284,044,884

Compensation

Mr. Elon R. Musk is a Co-Founder of Tesla, Incorporated and has been its Chief Executive Officer since October 2008 and serves as its Director since April 2004. Mr. Musk is the Chief Executive Officer and  ...


CEO Compensation Analysis

Compensation vs Market: Elon's total compensation ($USD2.28B) is above average for companies of similar size in the US market ($USD11.87M).

Compensation vs Earnings: Elon's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Elon Musk
Co-Founder11.5yrsUS$2.28b18.53% $16.4b
Jeffrey Straubel
Senior Advisor0.75yrUS$11.67m0.15% $132.7m
Jerome Guillen
President of Automotive Division1.58yrsUS$17.75m0.0052% $4.6m
Zachary Kirkhorn
Chief Financial Officer1.08yrsno data0.0062% $5.5m
Vaibhav Taneja
Corporate Controller & Chief Accounting Officer1.08yrsno data0.0013% $1.1m
Andrew Baglino
Chief Technology Officer0.75yrno data0.0023% $2.0m
Martin Viecha
Senior Director for Investor Relationsno datano datano data
Dave Arnold
Senior Director of Global Communications1.58yrsno datano data
Brian Scelfo
Senior Director of Corporate Developmentno datano datano data
Franz von Holzhausen
Chief Designerno datano datano data

1.1yrs

Average Tenure

43yo

Average Age

Experienced Management: TSLA's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Elon Musk
Co-Founder11.5yrsUS$2.28b18.53% $16.4b
Ira Ehrenpreis
Independent Director12.92yrsUS$9.91m0.013% $11.4m
Stephen Jurvetson
Independent Director10.83yrsUS$27.50k0.057% $50.0m
Lawrence Ellison
Independent Director1.33yrsno data1.63% $1.4b
James Murdoch
Independent Director2.75yrsUS$9.03m0.0057% $5.0m
Robyn Denholm
Independent Chairwoman1.42yrsUS$6.89m0.00054% $476.9k
Antonio Gracias
Lead Independent Director9.58yrsUS$13.32m0.15% $129.3m
Kathleen Wilson-Thompson
Independent Director1.33yrsno data0.00020% $176.6k
Kimbal Musk
Director16yrsUS$6.86m0.073% $64.3m

9.6yrs

Average Tenure

50yo

Average Age

Experienced Board: TSLA's board of directors are considered experienced (9.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TSLA insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.5%.


Top Shareholders

Company Information

Tesla, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tesla, Inc.
  • Ticker: TSLA
  • Exchange: NasdaqGS
  • Founded: 2003
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Market Cap: US$88.318b
  • Shares outstanding: 183.99m
  • Website: https://www.tesla.com

Number of Employees


Location

  • Tesla, Inc.
  • 3500 Deer Creek Road
  • Palo Alto
  • California
  • 94304
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TSLANasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 2010
TL0DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2010
TL0XTRA (XETRA Trading Platform)YesCommon StockDEEURJun 2010
TSLA *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 2010
TSLASWX (SIX Swiss Exchange)YesCommon StockCHCHFJun 2010
0R0XLSE (London Stock Exchange)YesCommon StockGBUSDJun 2010
TSLABIT (Borsa Italiana)YesCommon StockITEURJun 2010
TSLAWBAG (Wiener Boerse AG)YesCommon StockATEURJun 2010
TSLABVL (Bolsa de Valores de Lima)YesCommon StockPEUSDJun 2010
TL0DBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURJun 2010
US_TSLAKAS (Kazakhstan Stock Exchange)YesCommon StockKZKZTJun 2010
TSLA34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EA REPR 1/4 COM SHS USD0.001BRBRLJul 2016
TSLABASE (Buenos Aires Stock Exchange)CEDEAR EACH 15 REP 1 COM USD0.001ARARSApr 2019

Biography

Tesla, Inc. designs, develops, manufactures, leases, and sells electric vehicles, and energy generation and storage systems in the United States, China, Netherlands, Norway, and internationally. The company operates in two segments, Automotive; and Energy Generation and Storage. The Automotive segment offers sedans and sport utility vehicles. It also provides electric powertrain components and systems; and services for electric vehicles through its company-owned service locations, and Tesla mobile service technicians, as well as sells used vehicles. This segment markets and sells its products through a network of company-owned stores and galleries, as well as through its own Website. The Energy Generation and Storage segment offers energy storage products, such as rechargeable lithium-ion battery systems for use in homes, industrial, commercial facilities, and utility grids; and designs, manufactures, installs, maintains, leases, and sells solar energy generation and energy storage products to residential and commercial customers. It also provides vehicle insurance services, as well as renewable energy. The company was formerly known as Tesla Motors, Inc. and changed its name to Tesla, Inc. in February 2017. Tesla, Inc. was founded in 2003 and is headquartered in Palo Alto, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/04 07:51
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.