Tesla Stock Analysis: Performance Insights

Tesla and its financial performance shows a high level of volatility and uncertainty, according to the stock analysis report by Aliff Capital using AL and Machine Learning. The report analyzes Tesla’s financial statements, valuation measures, trading information, share statistics, dividends and splits, and financial highlights.

Tesla’s revenue has been growing rapidly, with a quarterly revenue growth rate of 37.20% YoY. The company has a trailing P/E ratio of 53.54 and a forward P/E ratio of 50.51, which indicates a high valuation. The PEG ratio (5 yr expected) is 1.76, indicating that the stock may be overvalued compared to its growth prospects.

In terms of market capitalization, Tesla has an intraday market cap of $613.23B and an enterprise value of $596.80B. The enterprise value/EBITDA ratio is 33.80, which is relatively high compared to other companies in the same industry.

Tesla’s profitability is relatively strong, with a profit margin of 15.41% and an operating margin (ttm) of 16.81%. The return on assets (ttm) is 11.85%, and the return on equity (ttm) is 32.49%, which is higher than the industry average.

However, Tesla’s share price history indicates a high level of volatility. The beta (5Y Monthly) is 2.07, indicating that the stock is highly sensitive to market movements. The 52-Week Change is -34.57%, while the S&P500 52-Week Change is -10.06%. The short % of float (Feb 27, 2023) is 3.13%, which may indicate that some investors are betting against the stock.

Our the stock analysis report suggests that Tesla’s financial performance is mixed, with both strengths and weaknesses. The report highlights the importance of considering multiple factors when evaluating a stock, including financial statements, valuation measures, trading information, share statistics, dividends and splits, and financial highlights.

TESLA : SWOT Analysis

Strengths:

• Tesla is a pioneer in the electric vehicle market and has established itself as a leading player in the industry.
• The company has a strong brand image and a loyal customer base.
• Tesla has a vertically integrated business model, allowing it to control the entire production process and maintain quality control.
• The company has a strong research and development team, allowing it to innovate and stay ahead of competitors.
• Tesla has a strong financial position with a high market cap and positive cash flow.

Weaknesses:

• Tesla’s high valuation and stock price make it vulnerable to market fluctuations and volatility.
• The company’s production capabilities have been strained in the past, leading to delays and customer dissatisfaction.
• The electric vehicle market is becoming increasingly competitive, and Tesla may struggle to maintain its market share as more players enter the market.
• Tesla’s current profitability relies heavily on selling regulatory credits to other automakers, which may not be sustainable in the long term.

Opportunities:

• The global demand for electric vehicles is growing, providing an opportunity for Tesla to expand its market share.
• Tesla has the potential to expand into new markets and increase its production capabilities.
• The company has the opportunity to diversify its product offerings beyond electric vehicles, such as energy storage and solar products.
• Tesla’s technology and research and development capabilities could be leveraged to enter new industries, such as aerospace.

Threats:

Traditional automakers are investing heavily in electric vehicle technology, posing a threat to Tesla’s market share.

The regulatory environment surrounding electric vehicles is subject to change and may impact Tesla’s business operations.

Tesla’s success is closely tied to the availability and affordability of battery technology, which could be impacted by global supply chain disruptions.

The company’s profitability may be impacted by changes in tax incentives and government subsidies for electric vehicles.

Earnings and Estimates:

• Analysts estimate that Tesla’s earnings per share (EPS) for Q1 2023 will be $0.87, compared to $1.07 in Q1 2022.
• For the fiscal year ending in December 2023, analysts estimate Tesla’s EPS will be $3.97, compared to $3.62 in FY 2022.
• Tesla’s last earnings report was on January 25, 2023, and the next report is scheduled for April 24, 2023.
• The number of analysts covering Tesla is 30.

Per Share Data:

• Tesla’s EPS for the most recent fiscal year is $3.62.
• Tesla’s sales are $23.44 per share.
• Tesla’s tangible book value is $13.94 per share.
• Tesla’s operating profit is $3.98 per share.
• Tesla’s working capital is $4.49 per share.
• Tesla’s long-term liabilities are $3.08 per share.

Ratios and Margins:

• Tesla’s P/E ratio (TTM) is 50.53, which indicates that the market values Tesla’s earnings relatively high compared to its peers.
• Tesla’s price to sales ratio is 5.25, indicating that investors are willing to pay $5.25 for every $1 of sales.
• Tesla’s price to book ratio is 8.72, indicating that the market values Tesla’s assets relatively high compared to its peers.
• Tesla’s price to cash flow ratio is 29.07, indicating that investors are willing to pay $29.07 for every $1 of cash flow.
• Tesla’s gross margin is +25.60%, indicating that Tesla is able to generate a decent amount of profit from its sales.
• Tesla’s operating margin is +16.98%, indicating that Tesla is able to generate a decent amount of profit from its operations.
• Tesla’s net margin is +15.45%, indicating that Tesla is able to generate a decent amount of profit from its overall business.
• Tesla’s return on assets is 17.42%, indicating that Tesla is able to generate a decent return on its assets.
• Tesla’s return on equity is 33.60%, indicating that Tesla is able to generate a decent return on shareholder equity.

Capital Structure:

• Tesla’s total debt to enterprise value is not available in the data provided.
• Tesla’s total debt to EBITDA is 0.18, indicating that Tesla’s debt is not too high compared to its earnings.
• Tesla’s total debt to total assets is 6.98%, indicating that Tesla has a relatively low amount of debt compared to its assets.

Commentary:

Tesla has been able to generate a decent amount of profit from its operations and has been able to generate a return on assets and equity that is higher than average. The market values Tesla’s earnings and assets relatively high compared to its peers, but this may be due to investors’ expectations for future growth and innovation in the electric vehicle industry. However, it is important to note that the stock market can be unpredictable and subject to change.

The company has a large market capitalization of $613.23 billion and an enterprise value of $596.80 billion. It has a relatively high trailing P/E ratio of 53.54 and a forward P/E ratio of 50.51, which suggests that the stock may be overvalued. The PEG ratio of 1.76 indicates that the stock may be slightly overvalued based on its expected future growth rate.

The company has a high price/sales ratio of 8.27 and a high price/book ratio of 13.72, which may also suggest that the stock is overvalued.

In terms of trading information, the stock has a high beta of 2.07, indicating that it is more volatile than the overall market. Its 52-week change of -34.57% is worse than the S&P500’s 52-week change of -10.06%. The stock’s 52-week high is 384.29, and its 52-week low is 101.81. Its 50-day moving average is 169.24, and its 200-day moving average is 218.99.

The company has a large number of shares outstanding at 3.16 billion, with 2.7 billion in float. Insiders hold 14.54% of shares, while institutions hold 44.96%. The short ratio is relatively low at 0.42, and the short % of float is 3.13%. The company does not pay dividends.

In terms of profitability, the company has a profit margin of 15.41% and an operating margin of 16.81%. Its return on assets (ROA) is 11.85%, and its return on equity (ROE) is 32.49%.

The company has a high revenue of $81.46 billion and a revenue per share of $26.03. Its quarterly revenue growth (YoY) is 37.20%. Its gross profit is $20.85 billion, and its EBITDA is $17.44 billion. Its net income available to common shareholders is $12.58 billion, and its diluted EPS is $3.83. Its quarterly earnings growth (YoY) is 58.90%.

The company has a total cash balance of $22.19 billion, a total debt of $5.75 billion, and a current ratio of 1.53. Its book value per share is $14.13.

Overall, Tesla appears to be a large and profitable company with a relatively high valuation. Its high P/E and P/S ratios, along with its low dividend yield, suggest that the stock may be overvalued.

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Disclaimer: The above analysis report is for informational purposes only and should not be construed as investment advice or a recommendation to buy, sell or hold any securities. The information presented in this report is based on publicly available data and is believed to be accurate, but no representation or warranty, express or implied, is made as to its accuracy, completeness or correctness. Aliff Capital and its affiliates do not guarantee the accuracy, reliability, completeness or timeliness of any information in this report and shall not be liable for any errors, omissions or inaccuracies, or for any actions taken in reliance thereon. Before making any investment decisions, please consult with your financial advisor.