Fundamentals snapshot
TSLA · NMS · Consumer Cyclical · Auto Manufacturers
Current price
$391.00
52-week range
$273.21 - $498.83
Market cap
$1.47T
One-glance verdict
Fair-value range $27.13 – $68.85 (cautious → optimistic — tap the ? for the math)
Wall Street consensus: $419.94 (1,070.0% higher than our fair-value estimate)
Buy below $28.71 for a 20% safety cushion
Balance sheet
Net cash $28.85B. Interest coverage shows how many times profit covers the interest bill.
What stands out
Quick scan of the biggest positives and negatives from the detailed checklist below.
What this company does
Tesla's main business is selling electric cars, which is where the vast majority of its money comes from, including by selling environmental credits to other automakers. They also have a smaller but growing division for solar panels and large-scale battery storage. This positions the company as a central player in the global shift toward both electric transportation and renewable energy.
Tesla was founded in 2003 by engineers Martin Eberhard and Marc Tarpenning with the goal of proving that electric cars could be better than gasoline-powered cars. Elon Musk joined as the primary investor in 2004 and later became CEO, guiding the company's strategy to start with a high-end sports car, the Roadster, and use those profits to build more affordable vehicles. Key turning points included going public in 2010, which raised significant funds, and launching the Model S in 2012, which gained widespread acclaim. The introduction of the more affordable Model 3 in 2017 was a major step toward becoming a mass-market automaker. Over the years, Tesla also expanded into clean energy by acquiring SolarCity in 2016 and developing battery storage products.
Tesla is known for its electric cars, which you might see driving on the street, like the Model 3 sedan or the Model Y SUV. The company sells these vehicles directly to customers online and through its own showrooms, rather than using traditional car dealerships. Beyond cars, Tesla is also in the energy business, selling solar panels and the Solar Roof, which looks like a normal roof but generates electricity. They also sell batteries like the Powerwall for homes and the Megapack for large businesses or utility companies to store energy.
This is Tesla's largest and most well-known business, making up the vast majority of the company's revenue (the money it brings in from sales). This segment designs, builds, and sells electric vehicles, including the Model S, Model 3, Model X, and Model Y, as well as the newer Cybertruck and Semi truck. Customers for this segment are individuals and businesses who purchase or lease the vehicles. The company also earns money from services related to its cars, such as paid software upgrades like Full Self-Driving, access to its Supercharger network for fast charging, and vehicle maintenance.
This is a smaller but rapidly growing part of Tesla's business. It focuses on creating products that help people and businesses generate and save their own clean energy. For homeowners, Tesla sells and installs solar panels and the Solar Roof, along with the Powerwall, a battery that stores solar energy for use at night or during a power outage. For larger customers, like businesses and electric utility companies, it sells a giant battery called the Megapack to store large amounts of energy and help make the power grid more stable.
Tesla's leadership is heavily focused on advancing artificial intelligence and robotics. A major priority is the development of Full Self-Driving (FSD) capabilities, with the goal of creating a fleet of autonomous 'robotaxis'. The company is also investing in its humanoid robot, Optimus, which it believes could become more valuable than its car business by automating tasks in manufacturing and beyond. Additionally, management is pushing to lower the cost of vehicles by introducing more affordable models and innovating in manufacturing processes. Expanding the energy storage business, particularly the production of Megapacks for utility companies, is another key focus for future growth.
Price history
Earnings history
Click any quarter to read the call summary and what the numbers say.
Is it cheap or expensive?
Wall Street consensus is the average analyst price target: $419.94 (1,070.0% higher than our fair-value estimate).
Buy below $28.71 for a 20% safety cushion. That means buying at least 20% below our fair value, as a buffer in case our estimate turns out too rosy.
Our most-likely fair value is $35.89 a share — about 90.8% below today's price of $391.00, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Net cash $28.9B - more cash than debt. Interest coverage 14.3x.
Tesla, Inc.'s profit covers its interest bill about 14.3 times over. which is stronger than every peer shown here and 4 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Total debt $15.89B Interest coverage 14.35x This is the baseline the peer rows are being compared against.
Total debt $5.23B Interest coverage -13.08x -100% vs TSLA This peer has almost no interest-payment cushion compared with TSLA.
Total debt $3.17B Interest coverage -36.82x -100% vs TSLA This peer has almost no interest-payment cushion compared with TSLA.
Total debt $26.57B Interest coverage -15.86x -100% vs TSLA This peer has almost no interest-payment cushion compared with TSLA.
Total debt $23.68B Interest coverage -6.99x -100% vs TSLA This peer has almost no interest-payment cushion compared with TSLA.
Total debt $128.77B Interest coverage 4.00x -72% vs TSLA Carries about 3.6x less debt cushion than TSLA.
What you should know
The numbers
Tap any ? icon to learn what it means.
Valuation
Profitability
Health
Growth
Cash flow
Dividend
Metric explainer
Debt comparison
What you should know