Editing Tesla, Inc.

Warning: You are not logged in. Your IP address will be publicly visible if you make any edits. If you log in or create an account, your edits will be attributed to your username, along with other benefits.

The edit can be undone. Please check the comparison below to verify that this is what you want to do, and then publish the changes below to finish undoing the edit.

Latest revision Your text
Line 72: Line 72:
|date=November 11, 2014
|date=November 11, 2014
|access-date=October 3, 2018 |website=Business Insider}}</ref><ref>{{cite web |title=Tesla Energy Generation And Storage Business: Q4 2020 Results |url=https://insideevs.com/news/482496/tesla-energy-generation-storage-q4-2020-results/ | date=January 27, 2021}}</ref><ref>{{cite web |title=Elon Musk |url=https://www.forbes.com/profile/elon-musk/ |website=[[Forbes]]}}</ref><ref>{{cite web | url=https://www.sec.gov/Archives/edgar/data/1318605/000156459021044307/tsla-pre14a_20210813.htm | title=Schedule 14A Information  | publisher=[[U.S. Securities and Exchange Commission]]}}</ref><ref name="10K_2022">{{cite web |title=Annual report Form 10-K 2022 Tesla Inc. |url=https://www.sec.gov/ix?doc=/Archives/edgar/data/1318605/000095017023001409/tsla-20221231.htm |date=January 31, 2023 |publisher=[[U.S. Securities and Exchange Commission]]}}</ref>
|access-date=October 3, 2018 |website=Business Insider}}</ref><ref>{{cite web |title=Tesla Energy Generation And Storage Business: Q4 2020 Results |url=https://insideevs.com/news/482496/tesla-energy-generation-storage-q4-2020-results/ | date=January 27, 2021}}</ref><ref>{{cite web |title=Elon Musk |url=https://www.forbes.com/profile/elon-musk/ |website=[[Forbes]]}}</ref><ref>{{cite web | url=https://www.sec.gov/Archives/edgar/data/1318605/000156459021044307/tsla-pre14a_20210813.htm | title=Schedule 14A Information  | publisher=[[U.S. Securities and Exchange Commission]]}}</ref><ref name="10K_2022">{{cite web |title=Annual report Form 10-K 2022 Tesla Inc. |url=https://www.sec.gov/ix?doc=/Archives/edgar/data/1318605/000095017023001409/tsla-20221231.htm |date=January 31, 2023 |publisher=[[U.S. Securities and Exchange Commission]]}}</ref>
}}Energy production and consumption are responsible for 76% of annual human-caused greenhouse gas emissions<ref name=":1" /><ref name=":2" />, and Tesla is on a mission to accelerate the world's transition to sustainable energy.<ref name=":3">https://www.tesla.com/about</ref>
}}Tesla is on a mission to accelerate the world's transition to sustainable energy.<ref name=":3">https://www.tesla.com/about</ref>


The company sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Tesla emphasises performance, attractive styling and the safety of its users in the design and manufacture of its products and is continuing to develop full self-driving technology for improved safety. The company also strives to lower the cost of ownership for its customers through continuous efforts to reduce manufacturing costs and by offering financial and other services tailored to its products.<ref name=":4">https://www.sec.gov/Archives/edgar/data/1318605/000156459021004599/tsla-10k_20201231.htm</ref>
The company sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Tesla is an innovator that emphasises performance, attractive styling and the safety of its users in the design and manufacture of its products and is continuing to develop full self-driving technology for improved safety. The company also strives to lower the cost of ownership for its customers through continuous efforts to reduce manufacturing costs and by offering financial and other services tailored to its products.<ref name=":4">https://www.sec.gov/Archives/edgar/data/1318605/000156459021004599/tsla-10k_20201231.htm</ref>


Assuming that Tesla increases its share of the automotive market to 10% (from 2%) and other assumptions, the expected return of an investment in the company over the next five years is negative 24%, which equates to an annual return of negative 4%. In other words, an £100,000 investment in the company is expected to return £76,000 in five years time.
Assuming that Tesla increases its share of the automotive market to 10% (from 2%) and other assumptions, the expected return of an investment in the company over the next five years is negative 24%, which equates to an annual return of negative 4%. In other words, an £100,000 investment in the company is expected to return £76,000 in five years time.


The degree of risk associated with an investment in Tesla is 'high', with the shares having a beta that is 112% above the market (2.12 vs. 1). Furthermore, Tesla's shares exhibit a 'high' level of liquidity, as evidenced by its bid-ask margin of 0.0297%.
The degree of risk associated with an investment in Tesla is 'high', with the shares having a beta that is 112% above the market (2.12 vs. 1).
 
Accordingly, based on the assumptions provided on the Stockhub platform,  an investment in the company is considered to be a 'suitable' one for you if, among other criteria, your required:
* Return level is negative 4% per year or less in absolute terms;
* Risk level is 112% or more above the market risk level;
* Time horizon is five years or longer;
* Bid-ask margin is 0.0297% or more; and/or
* Objective is to help accelerate the world's transition to sustainable energy.
 
'''Fun fact:''' Tesla, Inc. was named after inventor Nikola Tesla and was founded in 2003 by Martin Eberhard and Marc Tarpenning, not Elon Musk, who joined later as an investor and chairman.


==Operations==
==Operations==
Line 94: Line 85:
The idea of the company came about when the now founding team of the company realised that the current way that humankind is meeting its energy needs is unsustainable and bad for the planet.<ref name=":9">https://www.tesla.com/en_GB/blog/secret-tesla-motors-master-plan-just-between-you-and-me</ref>  
The idea of the company came about when the now founding team of the company realised that the current way that humankind is meeting its energy needs is unsustainable and bad for the planet.<ref name=":9">https://www.tesla.com/en_GB/blog/secret-tesla-motors-master-plan-just-between-you-and-me</ref>  


Currently, an estimated 85% of the world's energy needs are met by burning fossil fuels<ref>https://wedocs.unep.org/bitstream/handle/20.500.11822/30797/EGR2019.pdf?sequence=1&isAllowed=y</ref>, and energy production and consumption are responsible for 76% of annual human-caused greenhouse gas emissions.<ref name=":1">https://www.climatewatchdata.org/ghg-emissions?breakBy=sector&chartType=percentage&end_year=2018&sectors=total-including-lucf&start_year=1990</ref><ref name=":2">https://www.wri.org/insights/4-charts-explain-greenhouse-gas-emissions-countries-and-sectors</ref>
Currently, an estimated 85% of the world's energy needs are met by burning fossil fuels<ref>https://wedocs.unep.org/bitstream/handle/20.500.11822/30797/EGR2019.pdf?sequence=1&isAllowed=y</ref>, and energy production and consumption are responsible for 76% of annual human-caused greenhouse gas emissions.<ref>https://www.climatewatchdata.org/ghg-emissions?breakBy=sector&chartType=percentage&end_year=2018&sectors=total-including-lucf&start_year=1990</ref><ref>https://www.wri.org/insights/4-charts-explain-greenhouse-gas-emissions-countries-and-sectors</ref>


Researching into a better way to meet the energy needs, the team concluded that the best way to do so is to move to a solar electric economy, from a mine-and-burn hydrocarbon economy.<ref name=":9" />
Researching into a better way to meet the energy needs, the team concluded that the best way to do so is to move to a solar electric economy, from a mine-and-burn hydrocarbon economy.<ref name=":9" />
Line 115: Line 106:


====== Automotive sales ======
====== Automotive sales ======
As of 2nd June 2022, the company offers four main car models: Model S, Model 3, Model X and Model Y.
As of 11th August 2023, the company offers four main car models: Model S, Model 3, Model X and Model Y.


'''Model S'''
'''Model S'''


Model S is the fastest accelerating and longest ranging car that Tesla provides, with a zero-to-60 miles per hour acceleration of 3.1 seconds and a maximum distance range on a single battery charge of 405 miles, respectively.<ref>https://www.tesla.com/</ref> The price of the car in the US is $99,990.<ref name=":8" />
Model S is the fastest accelerating and longest ranging car that Tesla provides, with a zero-to-60 miles per hour acceleration of 3.1 seconds and a maximum distance range on a single battery charge of 405 miles, respectively.<ref>https://www.tesla.com/</ref> The price of the car in the US is $88,490 - $108,490.<ref name=":8" />


[[File:Model S.jpg]]
[[File:Model S.jpg]]
Line 125: Line 116:
'''Model 3'''
'''Model 3'''


Model 3 is the lowest priced car that Tesla provides, selling in the US at $46,990.
Model 3 is the lowest priced car that Tesla provides, selling in the US at $40,240 - $53,240.


[[File:Rhd-model-3-social.png]]


'''Model X'''
'''Model X'''


Model X is the largest cargo capacity car that Tesla provides, with a cargo capacity of 88 cubic feet. The price of the car in the US is $114,990.
Model X is the largest cargo capacity car that Tesla provides, with a cargo capacity of 88 cubic feet. The price of the car in the US is $98,490- $108,490.


[[File:MX-Hero-Desktop.jpg]]
[[File:MX-Hero-Desktop.jpg]]
Line 137: Line 127:
'''Model Y'''
'''Model Y'''


Model Y is the lowest price per cargo capacity and lowest price per seat car that Tesla provides, at $829 per cubic feet and $8,999 per seat, respectively. The price of the car in the US is $62,990.
Model Y is the lowest price per cargo capacity and lowest price per seat car that Tesla provides, at $829 per cubic feet and $8,999 per seat, respectively. The price of the car in the US is $50,490 - $54,490.


[[File:Model y red.jpg]]
[[File:Model y red.jpg]]
Line 149: Line 139:
! colspan="2" |Model X
! colspan="2" |Model X
! colspan="3" |Model 3
! colspan="3" |Model 3
! colspan="2" |Model Y
! colspan="3" |Model Y
|-
|-
!Type
!Type
Line 159: Line 149:
!Long Range<ref name=":14" />
!Long Range<ref name=":14" />
!Performance<ref name=":14" />
!Performance<ref name=":14" />
!Standard
!Long Range<ref name=":15">https://www.tesla.com/modely</ref>
!Long Range<ref name=":15">https://www.tesla.com/modely</ref>
!Performance<ref name=":15" />
!Performance<ref name=":15" />
Line 170: Line 161:
|style="background: orange; color: white;" |Yes
|style="background: orange; color: white;" |Yes
|style="background: orange; color: white;" |Yes
|style="background: orange; color: white;" |Yes
|Yes
| style="background: orange; color: white;" |Yes
| style="background: orange; color: white;" |Yes
|style="background: orange; color: white;" |Yes
|style="background: orange; color: white;" |Yes
Line 181: Line 173:
|style="background: orange; color: white;" |4.2 seconds
|style="background: orange; color: white;" |4.2 seconds
|style="background: orange; color: white;" |3.1 seconds
|style="background: orange; color: white;" |3.1 seconds
|5.0 seconds
| style="background: orange; color: white;" |4.8 seconds
| style="background: orange; color: white;" |4.8 seconds
|style="background: orange; color: white;" |3.5 seconds
|style="background: orange; color: white;" |3.5 seconds
Line 190: Line 183:
|style="background: orange; color: white;" |333 miles
|style="background: orange; color: white;" |333 miles
| style="background: red; color: white;" |272 miles
| style="background: red; color: white;" |272 miles
|style="background: orange; color: white;" |358 miles
|style="background: orange; color: white;" |333 miles
|style="background: orange; color: white;" |315 miles
|style="background: orange; color: white;" |315 miles
|279 miles
| style="background: orange; color: white;" |330 miles
| style="background: orange; color: white;" |330 miles
|style="background: orange; color: white;" |303 miles
|style="background: orange; color: white;" |303 miles
|-
|-
|What's the top speed of the vehicle?
|What's the top speed of the vehicle?
| style="background: orange; color: white;" |155 miles per hour
| style="background: orange; color: white;" |149 miles per hour
|style="background: green; color: white;" |200 miles per hour
|style="background: green; color: white;" |200 miles per hour
| style="background: orange; color: white;" |155 miles per hour
| style="background: orange; color: white;" |149 miles per hour
|style="background: orange; color: white;" |163 miles per hour
|style="background: orange; color: white;" |149 miles per hour
| style="background: orange; color: white;" |140 miles per hour
| style="background: orange; color: white;" |140 miles per hour
|style="background: orange; color: white;" |145 miles per hour
|style="background: orange; color: white;" |145 miles per hour
|style="background: orange; color: white;" |162 miles per hour
|style="background: orange; color: white;" |162 miles per hour
|135 miles per hour
| style="background: red; color: white;" |135 miles per hour
| style="background: red; color: white;" |135 miles per hour
|style="background: orange; color: white;" |155 miles per hour
|style="background: orange; color: white;" |155 miles per hour
Line 214: Line 209:
|style="background: orange; color: white;" |Sedan (i.e. car)
|style="background: orange; color: white;" |Sedan (i.e. car)
|style="background: orange; color: white;" |Sedan (i.e. car)
|style="background: orange; color: white;" |Sedan (i.e. car)
|SUV (i.e. car)
| style="background: orange; color: white;" |SUV (i.e. car)
| style="background: orange; color: white;" |SUV (i.e. car)
|style="background: orange; color: white;" |SUV (i.e. car)
|style="background: orange; color: white;" |SUV (i.e. car)
Line 225: Line 221:
|style="background: orange; color: white;" |5 out of 5 stars
|style="background: orange; color: white;" |5 out of 5 stars
|style="background: orange; color: white;" |5 out of 5 stars
|style="background: orange; color: white;" |5 out of 5 stars
|5 out of 5 stars
| style="background: orange; color: white;" |5 out of 5 stars
| style="background: orange; color: white;" |5 out of 5 stars
|style="background: orange; color: white;" |5 out of 5 stars
|style="background: orange; color: white;" |5 out of 5 stars
Line 236: Line 233:
|style="background: red; color: white;" |5 seats
|style="background: red; color: white;" |5 seats
|style="background: red; color: white;" |5 seats
|style="background: red; color: white;" |5 seats
|5 seats
| style="background: orange; color: white;" |7 seats
| style="background: orange; color: white;" |7 seats
|style="background: red; color: white;" |5 seats
|style="background: red; color: white;" |5 seats
Line 242: Line 240:
| style="background: red; color: white;" |28 cubic feet
| style="background: red; color: white;" |28 cubic feet
|style="background: red; color: white;" |28 cubic feet
|style="background: red; color: white;" |28 cubic feet
| style="background: orange; color: white;" |88 cubic feet
| style="background: orange; color: white;" |92 cubic feet
|style="background: orange; color: white;" |88 cubic feet
|style="background: orange; color: white;" |92 cubic feet
| style="background: red; color: white;" |23 cubic feet
| style="background: red; color: white;" |23 cubic feet
|style="background: red; color: white;" |23 cubic feet
|style="background: red; color: white;" |23 cubic feet
|style="background: red; color: white;" |23 cubic feet
|style="background: red; color: white;" |23 cubic feet
|76 cubic feet
| style="background: red; color: white;" |76 cubic feet
| style="background: red; color: white;" |76 cubic feet
|style="background: red; color: white;" |76 cubic feet
|style="background: red; color: white;" |76 cubic feet
Line 258: Line 257:
|style="background: orange; color: white;" |All-wheel drive
|style="background: orange; color: white;" |All-wheel drive
|style="background: orange; color: white;" |All-wheel drive
|style="background: orange; color: white;" |All-wheel drive
|All-wheel drive
| style="background: orange; color: white;" |All-wheel drive
| style="background: orange; color: white;" |All-wheel drive
|style="background: orange; color: white;" |All-wheel drive
|style="background: orange; color: white;" |All-wheel drive
|-
|-
|What's the price of the vehicle?
|What's the price of the vehicle?
| style="background: orange; color: white;" |$99,990
| style="background: orange; color: white;" |$88,490
|style="background: orange; color: white;" |$135,990
|style="background: orange; color: white;" |$108,490
| style="background: orange; color: white;" |$114,990
| style="background: orange; color: white;" |$98,490
|style="background: red; color: white;" |$138,990
|style="background: red; color: white;" |$108,490
| style="background: green; color: white;" |$46,990
| style="background: green; color: white;" |$40,240
|style="background: orange; color: white;" |$55,990
|style="background: orange; color: white;" |$47,240
|style="background: orange; color: white;" |$62,990
|style="background: orange; color: white;" |$53,240
| style="background: orange; color: white;" |$62,990
|$47,740
|style="background: orange; color: white;" |$67,990
| style="background: orange; color: white;" |$52,990
|style="background: orange; color: white;" |$54,490
|-
|-
|What's the vehicle's price per cargo capacity?
|What's the vehicle's price per cargo capacity?
| style="background: orange; color: white;" |$3,571 per cubic feet
| style="background: orange; color: white;" |$3,160 per cubic feet
|style="background: red; color: white;" |$4,857 per cubic feet
|style="background: red; color: white;" |$3,875 per cubic feet
| style="background: orange; color: white;" |$1,307 per cubic feet
| style="background: orange; color: white;" |$1,071 per cubic feet
|style="background: orange; color: white;" |$1,579 per cubic feet
|style="background: orange; color: white;" |$1,179 per cubic feet
| style="background: orange; color: white;" |$2,043 per cubic feet
| style="background: orange; color: white;" |$1,750 per cubic feet
|style="background: orange; color: white;" |$2,434 per cubic feet
|style="background: orange; color: white;" |$2,054 per cubic feet
|style="background: orange; color: white;" |$2,739 per cubic feet
|style="background: orange; color: white;" |$2,315 per cubic feet
| style="background: green; color: white;" |$829 per cubic feet
|$628 per cubic feet
|style="background: orange; color: white;" |$895 per cubic feet
| style="background: green; color: white;" |$697 per cubic feet
|style="background: orange; color: white;" |$717 per cubic feet
|-
|-
|What's the vehicle's price per seat?
|What's the vehicle's price per seat?
| style="background: orange; color: white;" |$19,998 per seat
| style="background: orange; color: white;" |$17,698 per seat
|style="background: red; color: white;" |$27,198 per seat
|style="background: red; color: white;" |$21,698 per seat
| style="background: orange; color: white;" |$16,427 per seat
| style="background: orange; color: white;" |$14,070 per seat
|style="background: orange; color: white;" |$23,165 per seat
|style="background: orange; color: white;" |$18,082 per seat
| style="background: orange; color: white;" |$9,398 per seat
| style="background: orange; color: white;" |$8,048 per seat
|style="background: orange; color: white;" |$11,198 per seat
|style="background: orange; color: white;" |$9,448 per seat
|style="background: orange; color: white;" |$12,598 per seat
|style="background: orange; color: white;" |$10,648 per seat
| style="background: green; color: white;" |$8,999 per seat
|$9,548 per seat
|style="background: orange; color: white;" |$13,598 per seat
| style="background: green; color: white;" |$7,570 per seat
|style="background: orange; color: white;" |$10,898 per seat
|}
|}


Line 315: Line 318:
|Which Tesla car has the largest cargo capacity?
|Which Tesla car has the largest cargo capacity?
|Model X and Model X Plaid
|Model X and Model X Plaid
|The cargo capacity of the car is 88 cubic feet.
|The cargo capacity of the car is 92 cubic feet.
|-
|-
|Which Tesla car has the most seats?
|Which Tesla car has the most seats?
Line 323: Line 326:
|Which Tesla car is the lowest priced?
|Which Tesla car is the lowest priced?
|Model 3 Rear-Wheel Drive
|Model 3 Rear-Wheel Drive
|The price of the car is $46,990.
|The price of the car is $40,240.
|-
|-
|Which Tesla car has the lowest price per cargo capacity?
|Which Tesla car has the lowest price per cargo capacity?
|Model Y Long Range
|Model Y Standard
|The price per cargo capacity of the car is $829 per cubic feet.
|The price per cargo capacity of the car is $628 per cubic feet.
|-
|-
|Which Tesla car has the lowest price per seat?
|Which Tesla car has the lowest price per seat?
|Model Y Long Range
|Model Y Long Range
|The price per seat of the car is $8,999 per seat.
|The price per seat of the car is $7,570 per seat.
|}
|}


Line 368: Line 371:
'''Cybertruck'''
'''Cybertruck'''


Cybertruck is a truck, a motor vehicle designed to transport cargo, carry specialised payloads, or perform other utilitarian work. What will be unique about the offering is that it will be the safest vehicle that Tesla provides. The price of the offering is expected to be $39,900.<ref>https://www.autoexpress.co.uk/tesla/cybertruck/96447/tesla-cybertruck-delayed-until-least-2023#:~:text=Tesla%20Cybertruck%3A%20performance%20and%20range&text=Entry%2Dlevel%2C%20Single%20Motor%2C,a%20top%20speed%20of%20110mph.</ref>
Cybertruck is a truck, a motor vehicle designed to transport cargo, carry specialised payloads, or perform other utilitarian work. What will be unique about the offering is that it will be the safest vehicle that Tesla provides- combining both ultra-hard 30x cold-rolled stainless steel and Tesla Armor Glass. The price of the offering is expected to be $39,900.<ref>https://www.autoexpress.co.uk/tesla/cybertruck/96447/tesla-cybertruck-delayed-until-least-2023#:~:text=Tesla%20Cybertruck%3A%20performance%20and%20range&text=Entry%2Dlevel%2C%20Single%20Motor%2C,a%20top%20speed%20of%20110mph.</ref>


[[File:Cybertruck-Hero-Desktop.jpg]]
[[File:Cybertruck-Hero-Desktop.jpg]]
Line 380: Line 383:
'''Tesla Semi'''
'''Tesla Semi'''


Tesla Semi is a semi-trailer truck, a motor vehicle that is designed to transport large cargo, via one or more of its attached trailers. What will be unique about the offering is that it will be the largest cargo capacity vehicle that Tesla provides. The price of the offering is around $150,000.
Tesla Semi is a semi-trailer truck, a motor vehicle that is designed to transport large cargo, via one or more of its attached trailers. What will be unique about the offering is that it will be the largest cargo capacity vehicle that Tesla provides. Moreover, operators will see approximate savings of $200,000 after three years because charging with electricity is cheaper than refueling with diesel. The price of the offering is around $150,000.


[[File:Tesla-semi.jpg]]
[[File:Tesla-semi.jpg]]
Line 397: Line 400:
'''Powerwall'''
'''Powerwall'''


Powerwall is a energy storage system (i.e. a type of battery).<ref name=":4" /> What’s unique about the offering is that it's the lowest priced energy storage system that Tesla provides, selling at $10,500. The energy capacity of the product is 13.5 kilowatt hour (kWh). To help put the capacity into perspective, in 2020, the average household in the United States consumed 29 kWh per day.<ref>https://www.eia.gov/tools/faqs/faq.php?id=97&t=3#:~:text=How%20much%20electricity%20does%20an,about%20893%20kWh%20per%20month.</ref> So, if the average household is powered from Powerwalls only, then it will require around two Powerwalls to power the whole house, at an average annual cost of $2,247.
Powerwall is a energy storage system (i.e. a type of battery).<ref name=":4" /> What’s unique about the offering is that it's the lowest priced energy storage system that Tesla provides, selling at $10,500. The energy capacity of the product is 13.5 kilowatt hour (kWh). To help put the capacity into perspective, in 2020, the average household in the United States consumed 29 kWh per day.<ref>https://www.eia.gov/tools/faqs/faq.php?id=97&t=3#:~:text=How%20much%20electricity%20does%20an,about%20893%20kWh%20per%20month.</ref> So, if the average household is powered from Powerwalls only, then it will require around two Powerwalls to power the whole house, at an average annual cost of $2,247. Furthermore, Tesla offers its Powerwall buyers a $500 rebate for each Powerwall registered between June and October 2023.


[[File:Powerwall2.jpg]]
[[File:Powerwall2.jpg]]
Line 437: Line 440:
|}
|}


====== Other current offerings ======
=== Other current offerings ===
'''Service and Warranty'''
'''Service and Warranty'''


Line 462: Line 465:
# Develop a self-driving capability that is 10x safer than manual, via massive fleet learning; and
# Develop a self-driving capability that is 10x safer than manual, via massive fleet learning; and
# Enable your car to make money for you when you aren't using it.
# Enable your car to make money for you when you aren't using it.
It's worth noting that 10 years earlier than the publication of the 2016 blog post, Elon detailed the company's first master plan<ref name=":9" />, and the company has managed to achieve all of the milestones, which were as follows:
It's worth noting that 10 years earlier than the publication of the 2016 blog post, Elon Musk detailed the company's first master plan<ref name=":9" />, and the company has managed to achieve all of the milestones, which were as follows:


#Build a sports car (i.e. the Tesla Model S);
#Build a sports car (i.e. the Tesla Model S);
Line 484: Line 487:


Here, the serviceable obtainable market (SOM) is defined as the US car market, and based on a number of assumptions, it is estimated that the size of the market as of today (30th May 2022), in terms of revenue, is $262 billion.
Here, the serviceable obtainable market (SOM) is defined as the US car market, and based on a number of assumptions, it is estimated that the size of the market as of today (30th May 2022), in terms of revenue, is $262 billion.
=== Industry Demand Drivers ===
The mayor drivers of industry performance within the electric and hybrid US vehicle manufacturing market are:<ref>https://0-my-ibisworld-com.pugwash.lib.warwick.ac.uk/us/en/industry-specialized/od4516/industry-performance</ref>
# '''Consumer confidence index:''' When consumers have less disposable income, they tend to delay purchases. The consumer confidence index plummeted during 2020 and is expected to further decrease during 2023 due to the expected recession.
# '''Demand from new car dealers:''' The financial crisis has greatly affected dealers as companies have struggled to find enough funds to stock their showrooms.
# '''World price of crude oil:''' Through 2023, the price of gasoline has grown, and consequently consumers have started to consider more purchasing more energy efficient vehicles like hybrid or electric cars.
# '''Trade-weighted index:''' Levels of international trade are affected by the relative strength of the US dollar to other international currencies. The trade-weighted index measures the value of the US dollar against key trading partner currencies.
# '''Tax credits for energy efficiency:''' Tax credits are expected to increase during 2023, which in turn incentivise demand for electric and hybrid cars. Customers have received up to $7,500 in tax credits.


== Competition==
== Competition==
Line 490: Line 502:


Tesla believes that its vehicles compete in the market both based on their traditional segment classification as well as based on their propulsion technology. For example, Model S and Model X compete primarily with premium sedans and premium SUVs, and Model 3 and Model Y compete with small to medium-sized sedans and compact SUVs, which are extremely competitive markets. Competing products typically include internal combustion vehicles from more established automobile manufacturers; however, many established and new automobile manufacturers have entered or have announced plans to enter the market for electric and other alternative fuel vehicles. Many major automobile manufacturers have electric vehicles available today in major markets including the US, China and Europe, and other current and prospective automobile manufacturers are also developing electric vehicles. In addition, several manufacturers offer hybrid vehicles, including plug-in versions.  
Tesla believes that its vehicles compete in the market both based on their traditional segment classification as well as based on their propulsion technology. For example, Model S and Model X compete primarily with premium sedans and premium SUVs, and Model 3 and Model Y compete with small to medium-sized sedans and compact SUVs, which are extremely competitive markets. Competing products typically include internal combustion vehicles from more established automobile manufacturers; however, many established and new automobile manufacturers have entered or have announced plans to enter the market for electric and other alternative fuel vehicles. Many major automobile manufacturers have electric vehicles available today in major markets including the US, China and Europe, and other current and prospective automobile manufacturers are also developing electric vehicles. In addition, several manufacturers offer hybrid vehicles, including plug-in versions.  
Moreover, Tesla holds a 51.9% market share within the Hybrid and Electric US vehicle manufacturing market in 2023.<ref>https://0-my-ibisworld-com.pugwash.lib.warwick.ac.uk/us/en/industry-specialized/od4516/industry-performance</ref> Other competitors within this market include Toyota Motor, Ford Motor Co, Honda Motor Co, and General Motors Company. 


Tesla also believes that there is increasing competition for its vehicle offerings as a platform for delivering self-driving technologies, charging offerings and other features and services, and it expects to compete in this developing market through continued progress on its autopilot, full self-driving and neural network capabilities, Supercharger network and its infotainment offerings.
Tesla also believes that there is increasing competition for its vehicle offerings as a platform for delivering self-driving technologies, charging offerings and other features and services, and it expects to compete in this developing market through continued progress on its autopilot, full self-driving and neural network capabilities, Supercharger network and its infotainment offerings.
Line 511: Line 525:
[[File:Elon Musk Royal Society (crop2).jpg|200px]]
[[File:Elon Musk Royal Society (crop2).jpg|200px]]


The Chief Executive Officer of Tesla is {{#property:P169|from=Q478214}} and he has served the position since October 2008 and as a member of the Board since April 2004. Elon has also served as Chief Executive Officer, Chief Technology Officer and Chairman of Space Exploration Technologies Corporation, an advanced rocket and spacecraft manufacturing and services company (“SpaceX ”), since May 2002, and served as Chairman of the Board of SolarCity Corporation, a solar installation company, from July 2006 until its acquisition by Tesla in November 2016. Elon is also a founder of The Boring Company, an infrastructure company, and of Neuralink Corp., a company focused on developing brain-machine interfaces. Prior to SpaceX, Elon co-founded PayPal, an electronic payment system, which was acquired by eBay in October 2002, and Zip2 Corporation, a provider of Internet enterprise software and services, which was acquired by Compaq in March 1999. Elon has also served on the board of directors of Endeavor Group Holdings, Inc. since April 2021. Elon holds a B.A. in physics from the University of Pennsylvania and a B.S. in business from the Wharton School of the University of Pennsylvania.
Elon Musk is the Chief Executive Officer of Tesla and has served the position since October 2008 and as a member of the Board since April 2004. Elon has also served as Chief Executive Officer, Chief Technology Officer and Chairman of Space Exploration Technologies Corporation, an advanced rocket and spacecraft manufacturing and services company (“SpaceX ”), since May 2002, and served as Chairman of the Board of SolarCity Corporation, a solar installation company, from July 2006 until its acquisition by Tesla in November 2016 and served as Chief Executive Officer of Twitter, Inc., a social media company, since October 2022. Elon is also a founder of The Boring Company, an infrastructure company, and of Neuralink Corp., a company focused on developing brain-machine interfaces. Prior to SpaceX, Elon co-founded PayPal, an electronic payment system, which was acquired by eBay in October 2002, and Zip2 Corporation, a provider of Internet enterprise software and services, which was acquired by Compaq in March 1999. Elon has also served on the board of directors of Endeavor Group Holdings, Inc. since April 2021. Elon holds a B.A. in physics from the University of Pennsylvania and a B.S. in business from the Wharton School of the University of Pennsylvania.


====Chief Financial Officer====
====Chief Financial Officer====
Line 525: Line 539:
Andrew Baglino has served as Tesla's Senior Vice President, Powertrain and Energy Engineering since October 2019. Previously, Drew served in various engineering positions continuously since joining Tesla in March 2006. Drew holds a B.S. in electrical engineering from Stanford University.
Andrew Baglino has served as Tesla's Senior Vice President, Powertrain and Energy Engineering since October 2019. Previously, Drew served in various engineering positions continuously since joining Tesla in March 2006. Drew holds a B.S. in electrical engineering from Stanford University.


'''Senior Vice President'''
Tom Zhu has served as Senior Vice President, Automotive since April 2023. Mr. Zhu joined Tesla in April 2014, and served in various operational roles before being appointed as Vice President, Greater China, where he led the construction and operations of Gigafactory Shanghai. Mr. Zhu holds a bachelor’s degree of commerce in information technology from the Auckland University of Technology and an M.B.A. from Duke University.
===Board of Directors===
===Board of Directors===


Line 553: Line 570:
<noglossary>‎Ira received his JD/MBA from Stanford Graduate School of Business and Stanford Law School, where he was an Associate Editor of Stanford Law Review. He holds a B.A. from the University of California, Los Angeles, graduating Phi Beta Kappa and Summa Cum Laude.</noglossary>   
<noglossary>‎Ira received his JD/MBA from Stanford Graduate School of Business and Stanford Law School, where he was an Associate Editor of Stanford Law Review. He holds a B.A. from the University of California, Los Angeles, graduating Phi Beta Kappa and Summa Cum Laude.</noglossary>   


'''Larry Ellison'''
'''Joe Gebbia'''


[[File:1029px-Larry Ellison picture.png|200px]]
Mr. Gebbia has been a member of the Board since 2022. Mr. Gebbia co-founded Airbnb, Inc. in 2008 and has served on Airbnb’s board of directors since 2009. In 2022, Mr. Gebbia launched Samara, which produces fully customized, factory-made homes designed to create rental income, house family, support work from home, or bundled together, to form new types of housing communities. Mr. Gebbia received dual degrees in Graphic Design and Industrial Design from the Rhode Island School of Design, where he currently serves on the institution’s Board of Trustees. Mr. Gebbia is the Chairman of Airbnb.org, and also serves on the Olympic Refuge Foundation and leadership councils for UNHCR, Tent.org and Malala Fund. Mr. Gebbia is a sought-after speaker on design and entrepreneurship, and has been named in Business Week’s Top 20 Best Young Tech Entrepreneurs, Inc. Magazine’s Thirty-under-Thirty, Fortune’s Forty-under-Forty, and one of Fast Company’s Most Creative People.
 
Lawrence J. Ellison has been a member of the Board since December 2018. Mr. Ellison is the founder of Oracle Corporation, a software and technology company, has served as its Chief Technical Officer since September 2014 and previously served as its Chief Executive Officer from June 1977 to September 2014. Mr. Ellison has also served on Oracle’s board of directors since June 1977, including as its Chairman since September 2014 and previously from May 1995 to January 2004.
 
'''Hiro Mizuno'''
 
[[File:9H 8h7tW40QNtdH1Y ZsVOj-lnmRMD4R2MAuxy1ajM.jpg|200px]]
 
Hiromichi Mizuno has been a member of Board since April 2020. Since January 2021, Mr. Mizuno has served as the United Nations Special Envoy on Innovative Finance and Sustainable Investments. From January 2015 to March 2020, Mr. Mizuno served as Executive Managing Director and Chief Investment Officer of Japan’s Government Pension Investment Fund, the largest pension fund in the world. Previously, Mr. Mizuno was a partner at Coller Capital, a private equity firm, from 2003. In addition to being a career-long finance and investment professional, Mr. Mizuno has served as a board member of numerous business, government and other organizations, currently including the Mission Committee of Danone S.A., a global food products company, and the World Economic Forum’s Global Future Council. Mr. Mizuno is also involved in academia, having been named to leadership or advisory roles at Harvard University, Oxford University, University of Cambridge, Northwestern University and Osaka University. Mr. Mizuno holds a B.A. in Law from Osaka City University and an M.B.A. from the Kellogg Graduate School of Management at Northwestern University.


'''James Murdoch'''
'''James Murdoch'''
Line 570: Line 579:


James Murdoch has been a member of the Board since July 2017. Since March 2019, Mr. Murdoch has been the Chief Executive Officer of Lupa Systems, a private investment company that he founded. Previously, Mr. Murdoch held a number of leadership roles at Twenty-First Century Fox, Inc. (“21CF”), a media company, over two decades, including its Chief Executive Officer from 2015 to March 2019, its Co-Chief Operating Officer from 2014 to 2015, its Deputy Chief Operating Officer and Chairman and Chief Executive Officer, International from 2011 to 2014 and its Chairman and Chief Executive, Europe and Asia from 2007 to 2011. Previously, he served as the Chief Executive Officer of Sky plc from 2003 to 2007, and as the Chairman and Chief Executive Officer of STAR Group Limited, a subsidiary of 21CF, from 2000 to 2003. Mr. Murdoch also formerly served on the boards of News Corporation from 2013 to July 2020, of 21CF from 2017 to 2019, of Sky plc from 2016 to 2018, of GlaxoSmithKline plc from 2009 to 2012 and of Sotheby’s from 2010 to 2012.
James Murdoch has been a member of the Board since July 2017. Since March 2019, Mr. Murdoch has been the Chief Executive Officer of Lupa Systems, a private investment company that he founded. Previously, Mr. Murdoch held a number of leadership roles at Twenty-First Century Fox, Inc. (“21CF”), a media company, over two decades, including its Chief Executive Officer from 2015 to March 2019, its Co-Chief Operating Officer from 2014 to 2015, its Deputy Chief Operating Officer and Chairman and Chief Executive Officer, International from 2011 to 2014 and its Chairman and Chief Executive, Europe and Asia from 2007 to 2011. Previously, he served as the Chief Executive Officer of Sky plc from 2003 to 2007, and as the Chairman and Chief Executive Officer of STAR Group Limited, a subsidiary of 21CF, from 2000 to 2003. Mr. Murdoch also formerly served on the boards of News Corporation from 2013 to July 2020, of 21CF from 2017 to 2019, of Sky plc from 2016 to 2018, of GlaxoSmithKline plc from 2009 to 2012 and of Sotheby’s from 2010 to 2012.
'''JB Straubel'''
Mr. Straubel is the Founder and Chief Executive Officer of Redwood Materials Inc., a Nevada-based company working to drive down the costs and environmental footprint of lithium-ion batteries by offering large-scale sources of domestic anode and cathode materials produced from recycled batteries. Mr. Straubel also co-founded and served as the Chief Technology Officer of Tesla from May 2005 to July 2019. Mr. Straubel previously served on the board of SolarCity Corporation and as a member of its Nominating and Corporate Governance Committee from August 2006 until its acquisition by Tesla in November 2016. Mr. Straubel has served on the board of directors of QuantumScape since November 2020. Mr. Straubel holds a B.S. in Energy Systems Engineering and a M.S. in Engineering, with an emphasis on energy conversion, from Stanford University.


'''Kimbal Musk'''
'''Kimbal Musk'''
Line 599: Line 612:


==== All periods ====
==== All periods ====
{| class="wikitable"
{| class="wikitable mw-collapsible"
|+Financials<ref>Source: Stockhub Limited</ref><ref group="Note" name="Note04" /><ref>Source: Stockhub Limited</ref><ref name="Note04" group="Note" />
|+Historic financials<ref>Source: Stockhub Limited</ref><ref group="Note" name="Note04" />
|-
|-
!Year  
!Year  
Line 617: Line 630:
!'''17'''
!'''17'''
!18
!18
!18
!19
!20
!21
!22
!23
!24
!25
!26
!27
!28
!29
!30
!31
!32
!33
!34
!35
!36
!37
!38
!39
!40
!41
!42
!43
!44
!45
!46
!47
!48
!49
!50
!51
!52
!53
!54
!55
!56
!57
!58
!59
|-
|-
|'''Year end date'''||'''31/12/2005'''||'''31/12/2006<ref name=":12">{{cite web|url=https://www.mercurynews.com/2014/07/14/2006-san-carlos-start-up-tesla-seeks-sexier-electric-car/|title=2006: San Carlos start-up Tesla seeks sexier electric car|date=July 14, 2014}}</ref><ref name="SEC">{{cite web | url=https://www.sec.gov/edgar/browse/?CIK=1318605 | title=Tesla, Inc. TSLA on Nasdaq | publisher=[[U.S. Securities and Exchange Commission]]}}</ref>'''||'''31/12/2007'''||'''31/12/2008'''||'''31/12/2009'''
|'''Year end date'''||'''31/12/2005'''||'''31/12/2006<ref name=":12">{{cite web|url=https://www.mercurynews.com/2014/07/14/2006-san-carlos-start-up-tesla-seeks-sexier-electric-car/|title=2006: San Carlos start-up Tesla seeks sexier electric car|date=July 14, 2014}}</ref><ref name="SEC">{{cite web | url=https://www.sec.gov/edgar/browse/?CIK=1318605 | title=Tesla, Inc. TSLA on Nasdaq | publisher=[[U.S. Securities and Exchange Commission]]}}</ref>'''||'''31/12/2007'''||'''31/12/2008'''||'''31/12/2009'''
|'''31/12/2010<ref name="SEC" />'''
|'''31/12/2010<ref name="SEC" />'''
|'''31/12/2011<ref name="SEC" />'''
|'''31/12/2011<ref name="SEC" />'''
|'''31/12/2012<ref name="SEC" />'''
|'''31/12/2012<ref name="SEC" />'''
|'''31/12/2013<ref name="SEC" />'''
|'''31/12/2013<ref name="SEC" />'''
|'''31/12/2014<ref name="SEC" />'''
|'''31/12/2014<ref name="SEC" />'''
|'''31/12/2015<ref name="SEC" />'''
|'''31/12/2015<ref name="SEC" />'''
|'''31/12/2016<ref name="SEC" />'''
|'''31/12/2016<ref name="SEC" />'''
|'''31/12/2017<ref name="SEC" />'''
|'''31/12/2017<ref name="SEC" />'''
|'''31/12/2018<ref name="SEC" />'''
|'''31/12/2018<ref name="SEC" />'''
|'''31/12/2019<ref name="SEC" />'''
|'''31/12/2019<ref name="SEC" />'''
|'''31/12/2020<ref name="SEC" />'''
|'''31/12/2020<ref name="SEC" />'''
|'''31/12/2021<ref name="SEC" />'''
|'''31/12/2021<ref name="SEC" />'''
|'''31/12/2022'''
|'''31/12/2022'''
|'''31/12/2022'''
|-
|'''31/12/2023'''
| colspan="19" |<div style="text-align: center;">'''Income statement'''</div>
|'''31/12/2024'''
|-
|'''31/12/2025'''
|Revenues ($'million)|| 0||0||0.073||15||112
|'''31/12/2026'''
|117
|'''31/12/2027'''
|204
|'''31/12/2028'''
|413
|'''31/12/2029'''
|2,013
|'''31/12/2030'''
|3,198
|'''31/12/2031'''
|4,046
|'''31/12/2032'''
|7,000
|'''31/12/2033'''
|11,759
|'''31/12/2034'''
|21,461
|'''31/12/2035'''
|24,578
|'''31/12/2036'''
|31,536
|'''31/12/2037'''
|53,823
|'''31/12/2038'''
|81,462
|'''31/12/2039'''
|-
|'''31/12/2040'''
|Net profits ($'million)||style="color: red;" |-12||style="color: red;" |-30||style="color: red;" |-78||style="color: red;" |-83|| style="color: red;" |−56
|'''31/12/2041'''
|style="color: red;" |−154
|'''31/12/2042'''
|style="color: red;" |−254
|'''31/12/2043'''
|style="color: red;" |−396
|'''31/12/2044'''
|style="color: red;" |−74
|'''31/12/2045'''
|style="color: red;" |−294
|'''31/12/2046'''
|style="color: red;" |−889
|'''31/12/2047'''
|style="color: red;" |−675
|'''31/12/2048'''
|style="color: red;" |−1,962
|'''31/12/2049'''
|style="color: red;" |−976
|'''31/12/2050'''
|style="color: red;" |−862
|'''31/12/2051'''
|721
|'''31/12/2052'''
|5,519
|'''31/12/2053'''
|12,556
|'''31/12/2054'''
|-
|'''31/12/2055'''
| colspan="19" |<div style="text-align: center;">'''Balance sheet'''</div>
|'''31/12/2056'''
|-
|'''31/12/2057'''
|Total assets<br />($'million)
|'''31/12/2058'''
|8
|'''31/12/2059'''
|44
|'''31/12/2060'''
|34
|'''31/12/2061'''
|52
|'''31/12/2062'''
|130
|'''31/12/2063'''
|386
|-
|713
|
|1,114
|'''Historic'''
|2,417
|'''Historic'''
|5,831
|'''Historic'''
|8,068
|'''Historic'''
|22,664
|'''Historic'''
|28,655
|'''Historic'''
|29,740
|'''Historic'''
|34,309
|'''Historic'''
|52,148
|'''Historic'''
|62,131
|'''Historic'''
|82,338
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Historic'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|'''Forecast'''
|
|-
|-
| colspan="61" |<div style="text-align: center;">'''Income statement'''</div>
| colspan="19" |<div style="text-align: center;">'''Other'''</div>
|-
|-
|Revenues ($'million)|| 0||0||0.073||15||112
|Employees
|117
|NA
|204
|70
|413
|268
|2,013
|252
|3,198
|514
|4,046
|899
|7,000
|1,417
|11,759
|2,914
|21,461
|5,859
|24,578
|10,161
|31,536
|13,058
|53,823
|17,782
|81,462
|37,543
|$78,935
|48,817
|$112,257
|48,016
|$154,816
|70,757
|$207,049
|99,290
|$268,527
|127,855
|$337,721
|}
|$411,894
 
|$487,157
=== Forward ===
|$558,739
 
|$621,448
====What are the financial forecasts?====
|$670,282
{| class="wikitable"
|$701,078
|+Forward financials<ref>Source: Stockhub Limited</ref><ref group="Note" name="Note04" />
|$711,102
|-
|$699,445
!Year
|$667,163
!18 !!19!!20!!21!!22
|$617,116
!23
|$553,551
!24
|$481,510
!25
|$406,171
!26
|$332,253
!27
|$263,564
!28
|$202,749
!29
|$151,247
!30
|$109,414
!31
|$76,757
!32
|$52,217
!33
|$34,448
!34
|$22,038
!35
|$13,673
!36
|$8,226
!37
|$4,799
!38
|$2,715
!39
|$1,490
!40
|$793
!41
|$409
!42
|$205
!43
|$99
!44
|$47
!45
|$21
!46
|$9
!47
|$4
!48
|$2
!49
!50
!51
!52
!53
!54
!55
!56
!57
!58
!59
|-
|-
|Gross profits ($'million)
|'''Year end date'''||'''31/12/2022'''||'''31/12/2023'''||'''31/12/2024'''||'''31/12/2025'''||'''31/12/2026'''
|
|'''31/12/2027'''
|
|'''31/12/2028'''
|
|'''31/12/2029'''
|
|'''31/12/2030'''
|
|'''31/12/2031'''
|
|'''31/12/2032'''
|
|'''31/12/2033'''
|
|'''31/12/2034'''
|
|'''31/12/2035'''
|
|'''31/12/2036'''
|
|'''31/12/2037'''
|
|'''31/12/2038'''
|
|'''31/12/2039'''
|
|'''31/12/2040'''
|
|'''31/12/2041'''
|
|'''31/12/2042'''
|
|'''31/12/2043'''
|
|'''31/12/2044'''
|$23,680
|'''31/12/2045'''
|$33,677
|'''31/12/2046'''
|$46,445
|'''31/12/2047'''
|$62,115
|'''31/12/2048'''
|$80,558
|'''31/12/2049'''
|$101,316
|'''31/12/2050'''
|$185,352
|'''31/12/2051'''
|$219,221
|'''31/12/2052'''
|$251,432
|'''31/12/2053'''
|$279,652
|'''31/12/2054'''
|$301,627
|'''31/12/2055'''
|$315,485
|'''31/12/2056'''
|$319,996
|'''31/12/2057'''
|$314,750
|'''31/12/2058'''
|$300,223
|'''31/12/2059'''
|$277,702
|'''31/12/2060'''
|$249,098
|'''31/12/2061'''
|$216,679
|'''31/12/2062'''
|$182,777
|'''31/12/2063'''
|$149,514
|-
|$118,604
| colspan="43" |<div style="text-align: center;">'''Income statement'''</div>
|$91,237
|-
|$68,061
|Revenues ($'million)|| $78,935||$112,257||$154,816||$207,049||$268,527
|$49,236
|$337,721
|$34,541
|$411,894
|$23,498
|$487,157
|$15,502
|$558,739
|$9,917
|$621,448
|$6,153
|$670,282
|$3,702
|$701,078
|$2,160
|$711,102
|$1,222
|$699,445
|$670
|$667,163
|$357
|$617,116
|$184
|$553,551
|$92
|$481,510
|$45
|$406,171
|$21
|$332,253
|$10
|$263,564
|$4
|$202,749
|$2
|$151,247
|$1
|$109,414
|-
|$76,757
|Operating profits ($'million)
|$52,217
|
|$34,448
|
|$22,038
|
|$13,673
|
|$8,226
|
|$4,799
|
|$2,715
|
|$1,490
|
|$793
|
|$409
|
|$205
|
|$99
|
|$47
|
|$21
|
|$9
|
|$4
|
|$2
|
|-
|
|Gross profits ($'million)||$23,680||$33,677||$46,445||$62,115||$80,558
|$11,840
|$101,316
|$16,839
|$185,352
|$23,222
|$219,221
|$31,057
|$251,432
|$40,279
|$279,652
|$50,658
|$301,627
|$123,568
|$315,485
|$146,147
|$319,996
|$167,622
|$314,750
|$186,434
|$300,223
|$201,085
|$277,702
|$210,323
|$249,098
|$213,331
|$216,679
|$209,834
|$182,777
|$200,149
|$149,514
|$185,135
|$118,604
|$166,065
|$91,237
|$144,453
|$68,061
|$121,851
|$49,236
|$99,676
|$34,541
|$79,069
|$23,498
|$60,825
|$15,502
|$45,374
|$9,917
|$32,824
|$6,153
|$23,027
|$3,702
|$15,665
|$2,160
|$10,335
|$1,222
|$6,612
|$670
|$4,102
|$357
|$2,468
|$184
|$1,440
|$92
|$815
|$45
|$447
|$21
|$238
|$10
|$123
|$4
|$61
|$2
|$30
|$14
|$6
|$3
|$1
|$1
|$1
|-
|-
|Net profits ($'million)|| style="color: red;" |-12|| style="color: red;" |-30|| style="color: red;" |-78|| style="color: red;" |-83|| style="color: red;" |−56
|Operating profits ($'million)||$11,840||$16,839||$23,222||$31,057||$40,279
| style="color: red;" |−154
|$50,658
| style="color: red;" |−254
|$123,568
| style="color: red;" |−396
|$146,147
| style="color: red;" |−74
|$167,622
| style="color: red;" |−294
|$186,434
| style="color: red;" |−889
|$201,085
| style="color: red;" |−675
|$210,323
| style="color: red;" |−1,962
|$213,331
| style="color: red;" |−976
|$209,834
| style="color: red;" |−862
|$200,149
|721
|$185,135
|5,519
|$166,065
|12,556
|$144,453
|$9,354
|$121,851
|$13,302
|$99,676
|$18,346
|$79,069
|$24,535
|$60,825
|$31,820
|$45,374
|$40,020
|$32,824
|$97,619
|$23,027
|$115,456
|$15,665
|$132,421
|$10,335
|$147,283
|$6,612
|$158,857
|$4,102
|$166,156
|$2,468
|$168,531
|$1,440
|$165,769
|$815
|$158,118
|$447
|$146,256
|$238
|$131,192
|$123
|$114,118
|$61
|$96,263
|$30
|$78,744
|$14
|$62,465
|$6
|$48,052
|$3
|$35,846
|$1
|$25,931
|$18,191
|$12,376
|$8,164
|$5,223
|$3,240
|$1,949
|$1,137
|$643
|$353
|$188
|$97
|$48
|$24
|$11
|$5
|$2
|$1
|$1
|$0
|-
|-
| colspan="61" |<div style="text-align: center;">'''Balance sheet'''</div>
|Net profits ($'million)||$9,354||$13,302||$18,346||$24,535|| $31,820
|-
|$40,020
|Total assets<br />($'million)
|$97,619
|8
|$115,456
|44
|$132,421
|34
|$147,283
|52
|$158,857
|130
|$166,156
|386
|$168,531
|713
|$165,769
|1,114
|$158,118
|2,417
|$146,256
|5,831
|$131,192
|8,068
|$114,118
|22,664
|$96,263
|28,655
|$78,744
|29,740
|$62,465
|34,309
|$48,052
|52,148
|$35,846
|62,131
|$25,931
|82,338
|$18,191
|
|$12,376
|
|$8,164
|
|$5,223
|
|$3,240
|
|$1,949
|
|$1,137
|
|$643
|
|$353
|
|$188
|
|$97
|
|$48
|
|$24
|
|$11
|
|$5
|
|$2
|
|$1
|
|$0
|
|}
|
 
|
==== What are the assumptions used to estimate the financial forecasts?====
|
 
|
{| class="wikitable"
|
|+Key inputs
|
!Description
|
!Value
|
!Commentary
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|-
|-
| colspan="61" |<div style="text-align: center;">'''Other'''</div>
| colspan="3" | <div style="text-align: center;">'''Revenue'''</div>
|-
|-
|Employees
|What's the estimated current size of the total addressable market?
|NA
|$2,975,000,000
|70
|Here, the total addressable market (TAM) is defined as the global automotive market, and based on a number of assumptions<ref group="Note" name="Note01" />, it is estimated that the size of the market as of today (30th May 2022), in terms of revenue, is $2.975 trillion.
|268
 
|252
 
|514
If the TAM is defined as the global energy market, then research suggests that the estimated size of the market is $6.777 trillion.<ref name=":16">https://www.ucl.ac.uk/bartlett/sustainable/sites/bartlett/files/an_exploration_of_energy_cost_ranges_limits_and_adjustment_process.pdf</ref>
|899
|-
|1,417
|What is the estimated company lifespan?
|2,914
|60 years
|5,859
|Tesla employs around 110,000, making the company a large organisation (more than 10,000 employees), and research shows that the average lifespan of a large corporation is around 50 years.<ref>Stadler, Enduring Success, 3–5.</ref>
|10,161
|-
|13,058
|What's the estimated annual growth rate of the total addressable market over the lifecycle of the company?
|17,782
|3%
|37,543
|Research shows that the growth rate of the global automotive market (i.e. the total addressable market) is similar to the growth rate of global gross domestic product<ref>http://www.robertpicard.net/files/econgrowthandadvertising.pdf</ref>, which has averaged (medium) around 3% per year in the last 20 years (2001 to 2022)<ref>https://www.macrotrends.net/countries/WLD/world/gdp-growth-rate</ref>.
|48,817
|-
|48,016
|What's the estimated company peak market share?
|70,757
|10%
|99,290
|The Stockhub users estimate that especially given the leadership of the company, the peak market share of Tesla is around 10%, and, therefore, suggests using the share amount here. As of 31st December 2021, Tesla's current share of the market is estimated at around 1.8%.
|127,855
|-
|
|Which distribution function do you want to use to estimate company revenue?
|
|Gaussian
|
|Research suggests that the revenue pattern of companies is similar to the pattern produced by the Gaussian distribution function  (i.e. the revenue distribution is bell shaped)<ref>http://escml.umd.edu/Papers/ObsCPMT.pdf</ref>, so the Stockhub users suggest using that function here.
|
|-
|
|What's the estimated standard deviation of company revenue?
|
| 6 years
|
|Another way of asking this question is this way: within how many years either side of the mean does 68% of revenue occur? Based on Tesla's current revenue amount (i.e. $54 billion) and Tesla's estimated lifespan (i.e. 60 years) and Tesla's estimated current stage of its lifecycle (i.e. growth stage), the Stockhub users suggest using 6 years (i.e. 68% of all sales happen within 6 years either side of the mean year), so that's what's used here.
|
|-
|
| colspan="3" |'''<div style="text-align: center;">Growth stages</div>'''
|
|-
|
|How many main stages of growth is the company expected to go through?
|
| 4 stages
|
|Research suggests that a company typically goes through four distinct stages of cash flow growth.<ref>Levie J, Lichtenstein BB (2010) A terminal assessment of stages theory: Introducing a dynamic approach to entrepreneurship. Entrepreneurship: Theory & Practice 34(2): 317–350. <nowiki>https://doi.org/10.1111/j.1540-6520.2010.00377.x</nowiki></ref> Research also shows that incorporating those stages into the discounted cash flow model improves the quality of the model and, ultimately, the quality of the value estimation.<ref>Stef Hinfelaar et al.:, 2019.</ref>
|
 
|
In addition, research shows that a key way to determine the stage which a company is in is by examining the cash flow patterns of the company.<ref>Dickinson, 2010.</ref> A summary of the economic links to cash flow patterns can be found in the appendix of this report. The Stockhub users estimate that with Tesla's operating cash flows positive (+), investing cash flows negative (-) and its financing cash flows positive (+), the company is in the second stage of growth (i.e. the 'growth' stage), and, therefore, it has a total of three main stages of growth. Note, to account for one-off events, the three-year average (median) amount was used to calculate the cash flows.
|
 
|
On 7th February 2022, Tesla said it currently expects: to continue to generate net positive operating cash flow as it has done in the last four fiscal years; its capital expenditures to be between $5.00 to $7.00 billion in 2022 and each of the next two fiscal years; and its ability to be self-funding to continue as long as macroeconomic factors support current trends in its sales. Accordingly, based on forward looking statements, it appears that the company is in stage two of the business lifecycle  (i.e. the 'growth' stage), and, therefore, it has a total of three main stages of growth remaining.
|
|-
|
|What proportion of the company lifecycle is represented by growth stage 1?
|
|30%
|
|Research suggests 30%.<ref name=":6">http://escml.umd.edu/Papers/ObsCPMT.pdf</ref>
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|}
 
=== What are the assumptions used to estimate the financial forecasts? ===
 
{| class="wikitable"
|+Key inputs
!Description
!Value
!Commentary
|-
|-
| colspan="3" | <div style="text-align: center;">'''Revenue'''</div>
|What proportion of the company lifecycle is represented by growth stage 2?
|10%
|Research suggests 10%.<ref name=":6" />
|-
|-
|What's the estimated current size of the total addressable market?
| What proportion of the company lifecycle is represented by growth stage 3?
|$2,975,000,000
|20%
|Here, the total addressable market (TAM) is defined as the global automotive market, and based on a number of assumptions<ref group="Note" name="Note01" />, it is estimated that the size of the market as of today (30th May 2022), in terms of revenue, is $2.975 trillion.
| Research suggests 20%.<ref name=":6" />
 
 
If the TAM is defined as the global energy market, then research suggests that the estimated size of the market is $6.777 trillion.<ref name=":16">https://www.ucl.ac.uk/bartlett/sustainable/sites/bartlett/files/an_exploration_of_energy_cost_ranges_limits_and_adjustment_process.pdf</ref>
|-
|-
|What is the estimated company lifespan?
|What proportion of the company lifecycle is represented by growth stage 4?
|60 years
|40%
|Tesla employs around 110,000, making the company a large organisation (more than 10,000 employees), and research shows that the average lifespan of a large corporation is around 50 years.<ref>Stadler, Enduring Success, 3–5.</ref>
|Research suggests 40%.<ref name=":6" />
|-
|-
|What's the estimated annual growth rate of the total addressable market over the lifecycle of the company?
| colspan="3" |'''<div style="text-align: center;">Growth stage 2</div>'''
|3%
|Research shows that the growth rate of the global automotive market (i.e. the total addressable market) is similar to the growth rate of global gross domestic product<ref>http://www.robertpicard.net/files/econgrowthandadvertising.pdf</ref>, which has averaged (medium) around 3% per year in the last 20 years (2001 to 2022)<ref>https://www.macrotrends.net/countries/WLD/world/gdp-growth-rate</ref>.
|-
|-
|What's the estimated company peak market share?
|Cost of goods sold as a proportion of revenue (%)
|10%
|79%
|The Stockhub users estimate that especially given the leadership of the company, the peak market share of Tesla is around 10%, and, therefore, suggests using the share amount here. As of 31st December 2021, Tesla's current share of the market is estimated at around 1.8%.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7">http://people.stern.nyu.edu/adamodar/pdfiles/papers/younggrowth.pdf</ref>, and the margin for its peers is 79%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
|-
|-
|Which distribution function do you want to use to estimate company revenue?
|Operating expenses as a proportion of revenue (%)
|Gaussian
|15%
|Research suggests that the revenue pattern of companies is similar to the pattern produced by the Gaussian distribution function  (i.e. the revenue distribution is bell shaped)<ref>http://escml.umd.edu/Papers/ObsCPMT.pdf</ref>, so the Stockhub users suggest using that function here.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the margin for its peers is 15%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|What's the estimated standard deviation of company revenue?
|Tax rate (%)
| 6 years
|11%
|Another way of asking this question is this way: within how many years either side of the mean does 68% of revenue occur? Based on Tesla's current revenue amount (i.e. $54 billion) and Tesla's estimated lifespan (i.e. 60 years) and Tesla's estimated current stage of its lifecycle (i.e. growth stage), the Stockhub users suggest using 6 years (i.e. 68% of all sales happen within 6 years either side of the mean year), so that's what's used here.
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the rate for its peers is 11%.
|-
|-
| colspan="3" |'''<div style="text-align: center;">Growth stages</div>'''
|Depreciation and amortisation as a proportion of revenue (%)
|7%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the margin for its peers is 7%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|How many main stages of growth is the company expected to go through?
|Fixed capital as a proportion of revenue (%)
| 4 stages
|10%
|Research suggests that a company typically goes through four distinct stages of cash flow growth.<ref>Levie J, Lichtenstein BB (2010) A terminal assessment of stages theory: Introducing a dynamic approach to entrepreneurship. Entrepreneurship: Theory & Practice 34(2): 317–350. <nowiki>https://doi.org/10.1111/j.1540-6520.2010.00377.x</nowiki></ref> Research also shows that incorporating those stages into the discounted cash flow model improves the quality of the model and, ultimately, the quality of the value estimation.<ref>Stef Hinfelaar et al.:, 2019.</ref>
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
 
In addition, research shows that a key way to determine the stage which a company is in is by examining the cash flow patterns of the company.<ref>Dickinson, 2010.</ref> A summary of the economic links to cash flow patterns can be found in the appendix of this report. The Stockhub users estimate that with Tesla's operating cash flows positive (+), investing cash flows negative (-) and its financing cash flows positive (+), the company is in the second stage of growth (i.e. the 'growth' stage), and, therefore, it has a total of three main stages of growth. Note, to account for one-off events, the three-year average (median) amount was used to calculate the cash flows.
 
On 7th February 2022, Tesla said it currently expects: to continue to generate net positive operating cash flow as it has done in the last four fiscal years; its capital expenditures to be between $5.00 to $7.00 billion in 2022 and each of the next two fiscal years; and its ability to be self-funding to continue as long as macroeconomic factors support current trends in its sales. Accordingly, based on forward looking statements, it appears that the company is in stage two of the business lifecycle  (i.e. the 'growth' stage), and, therefore, it has a total of three main stages of growth remaining.
|-
|-
|What proportion of the company lifecycle is represented by growth stage 1?
|Working capital as a proportion of revenue (%)
|30%  
|15%  
|Research suggests 30%.<ref name=":6">http://escml.umd.edu/Papers/ObsCPMT.pdf</ref>
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the amount for its peers is 15%.
|-
|-
|What proportion of the company lifecycle is represented by growth stage 2?
|Net borrowing ($000)
|10%
|Zero
|Research suggests 10%.<ref name=":6" />
|Stockhub suggests that for simplicity, the net borrowing figure is zero.
|-
|-
| What proportion of the company lifecycle is represented by growth stage 3?
|Interest amount ($000)
|20%
|Zero
| Research suggests 20%.<ref name=":6" />
|Stockhub suggests that for simplicity, the interest amount figure is zero.
|-
|-
|What proportion of the company lifecycle is represented by growth stage 4?
| colspan="3" |'''<div style="text-align: center;">Growth stage 3</div>'''
|40%
|Research suggests 40%.<ref name=":6" />
|-
| colspan="3" |'''<div style="text-align: center;">Growth stage 2</div>'''
|-
|-
|Cost of goods sold as a proportion of revenue (%)  
|Cost of goods sold as a proportion of revenue (%)  
|79%
|62%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7">http://people.stern.nyu.edu/adamodar/pdfiles/papers/younggrowth.pdf</ref>, and the margin for its peers is 79%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the margin for its peers is 62%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
|-
|-
|Operating expenses as a proportion of revenue (%)
|Operating expenses as a proportion of revenue (%)
|15%
|13%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the margin for its peers is 15%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the margin for its peers is 13%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Tax rate (%)  
|Tax rate (%)  
|11%
|14%
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the rate for its peers is 11%.
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the rate for its peers is 14%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Depreciation and amortisation as a proportion of revenue (%)  
|Depreciation and amortisation as a proportion of revenue (%)  
|7%
|4%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the margin for its peers is 7%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the amount for its peers is 4%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Fixed capital as a proportion of revenue (%)  
|Fixed capital as a proportion of revenue (%)  
|10%
|3%
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the amount for its peers is 3%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Working capital as a proportion of revenue (%)
|Working capital as a proportion of revenue (%)
|15%  
|10%  
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 2)<ref name=":7" />, and the amount for its peers is 15%.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Net borrowing ($000)
|Net borrowing ($000)
|Zero
|Zero
|Stockhub suggests that for simplicity, the net borrowing figure is zero.
|The Stockhub users suggest that for simplicity, the net borrowing figure is zero.
|-
|-
|Interest amount ($000)
|Interest amount ($000)
|Zero
|Zero
|Stockhub suggests that for simplicity, the interest amount figure is zero.
|The Stockhub users suggest that for simplicity, the interest amount figure is zero.
|-
|-
| colspan="3" |'''<div style="text-align: center;">Growth stage 3</div>'''
| colspan="3" |'''<div style="text-align: center;">Growth stage 4</div>'''
|-
|-
|Cost of goods sold as a proportion of revenue (%)  
|Cost of goods sold as a proportion of revenue (%)  
|62%
|99%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the margin for its peers is 62%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the margin for its peers is 99%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
|-
|-
|Operating expenses as a proportion of revenue (%)
|Operating expenses as a proportion of revenue (%)
|13%
|15%
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the margin for its peers is 13%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the margin for its peers is 15%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Tax rate (%)  
|Tax rate (%)  
|14%
|0%
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the rate for its peers is 14%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the rate for its peers is 0%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Depreciation and amortisation as a proportion of revenue (%)  
|Depreciation and amortisation as a proportion of revenue (%)  
|4%
|37%
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the amount for its peers is 4%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 37%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Fixed capital as a proportion of revenue (%)  
|Fixed capital as a proportion of revenue (%)
|3%
| 1%
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 3)<ref name=":7" />, and the amount for its peers is 3%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 1%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
|Working capital as a proportion of revenue (%)
|Working capital as a proportion of revenue (%)
|10%  
| 10%  
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|-
Line 1,278: Line 1,131:
|Zero
|Zero
|The Stockhub users suggest that for simplicity, the interest amount figure is zero.
|The Stockhub users suggest that for simplicity, the interest amount figure is zero.
|-
|}
| colspan="3" |'''<div style="text-align: center;">Growth stage 4</div>'''
 
|-
==Risks==
|Cost of goods sold as a proportion of revenue (%)
 
|99%
As with any investment, investing in Tesla carries a level of risk. Overall, based on the key risks highlighted below, the degree of risk associated with an investment in Tesla is high.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the margin for its peers is 99%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.  
 
|-
===Risks related to the ability to grow the business===
|Operating expenses as a proportion of revenue (%)
 
|15%
*Tesla may be impacted by macroeconomic conditions resulting from the global COVID-19 pandemic.
|Research suggests that it's best to use a similar margin rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the margin for its peers is 15%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
*Tesla may experience delays in launching and ramping the production of its products and features, or Tesla may be unable to control its manufacturing costs.
|-
*Tesla may be unable to grow its global product sales, delivery and installation capabilities and its servicing and vehicle charging networks, or Tesla may be unable to accurately project and effectively manage its growth.
|Tax rate (%)
*Tesla's future growth and success is dependent upon consumers’ demand for electric vehicles and specifically its vehicles in an automotive industry that is generally competitive, cyclical and volatile.
|0%
*Tesla's suppliers may fail to deliver components according to schedules, prices, quality and volumes that are acceptable to us, or Tesla may be unable to manage these components effectively.
|Research suggests that it's best to use a similar rate as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the rate for its peers is 0%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
*Tesla may be unable to meet its projected construction timelines, costs and production ramps at new factories, or Tesla may experience difficulties in generating and maintaining demand for products manufactured there.
|-
* Tesla will need to maintain and significantly grow its access to battery cells, including through the development and manufacture of its own cells, and control its related costs.
|Depreciation and amortisation as a proportion of revenue (%)
*Tesla faces strong competition for its products and services from a growing list of established and new competitors.
|37%
 
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 37%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
===Risks related to the company's operations===
|-
|Fixed capital as a proportion of revenue (%)
| 1%
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 1%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|Working capital as a proportion of revenue (%)
| 10%
|Research suggests that it's best to use a similar amount as the one used by peers that are in the same growth stage (i.e. growth stage 4)<ref name=":7" />, and the amount for its peers is 10%. Information on the peers and the calculation of the figure used here can be found in the appendix of this report.
|-
|Net borrowing ($000)
|Zero
|The Stockhub users suggest that for simplicity, the net borrowing figure is zero.
|-
|Interest amount ($000)
|Zero
|The Stockhub users suggest that for simplicity, the interest amount figure is zero.
|}


==Risks==
*Tesla may experience issues with lithium-ion cells or other components manufactured at Gigafactory Nevada and Gigafactory Shanghai, which may harm the production and profitability of its vehicle and energy storage products.
 
*Tesla faces risks associated with maintaining and expanding its international operations, including unfavourable and uncertain regulatory, political, economic, tax and labour conditions.
As with any investment, investing in Tesla carries a level of risk.  Overall, based on the Tesla's adjusted beta (i.e. 2.12), the degree of risk associated with an investment in Tesla is 'high'.
*Tesla's business may suffer if its products or features contain defects, fail to perform as expected or take longer than expected to become fully functional.
 
*Tesla may be required to defend or insure against product liability claims.
Here, to estimate the adjusted beta, we used the iShares MSCI World ETF to represent the market portfolio; and in terms of the time period and frequency of observations, we used five years of monthly data (i.e. 60 observations in total), which is supported by a study and is the most common choice. The beta value in a future period has been found to be on average closer to the mean value of 1.0, and because valuation is forward-looking, it is logical to adjust the raw beta so it more accurately predicts a future beta. In addition, here, we have assumed that for an investment to be considered 'high' risk, it must have a beta value of 1.5 or more. Further information about the beta ratings can be found in the appendix section of this report.
*Tesla will need to maintain public credibility and confidence in its long-term business prospects in order to succeed.
 
*Tesla may be unable to effectively grow, or manage the compliance, residual value, financing and credit risks related to, its various financing programs.
The key risks can be found below. For us, currently, the biggest risk to the valuation of the company relates to the strong competition for its products and services from a growing list of established and new competitors (i.e. competition risk).
*Tesla must manage ongoing obligations under its agreement with the Research Foundation for the State University of New York relating to its Gigafactory New York.
 
===Risks related to the ability to grow the business===
 
*Tesla may be impacted by macroeconomic conditions resulting from the global COVID-19 pandemic.
*Tesla may experience delays in launching and ramping the production of its products and features, or Tesla may be unable to control its manufacturing costs.
*Tesla may be unable to grow its global product sales, delivery and installation capabilities and its servicing and vehicle charging networks, or Tesla may be unable to accurately project and effectively manage its growth.
*Tesla's future growth and success is dependent upon consumers’ demand for electric vehicles and specifically its vehicles in an automotive industry that is generally competitive, cyclical and volatile.
*Tesla's suppliers may fail to deliver components according to schedules, prices, quality and volumes that are acceptable to us, or Tesla may be unable to manage these components effectively.
*Tesla may be unable to meet its projected construction timelines, costs and production ramps at new factories, or Tesla may experience difficulties in generating and maintaining demand for products manufactured there.
* Tesla will need to maintain and significantly grow its access to battery cells, including through the development and manufacture of its own cells, and control its related costs.
*Tesla faces strong competition for its products and services from a growing list of established and new competitors.
 
===Risks related to the company's operations===
 
*Tesla may experience issues with lithium-ion cells or other components manufactured at Gigafactory Nevada and Gigafactory Shanghai, which may harm the production and profitability of its vehicle and energy storage products.
*Tesla faces risks associated with maintaining and expanding its international operations, including unfavourable and uncertain regulatory, political, economic, tax and labour conditions.
*Tesla's business may suffer if its products or features contain defects, fail to perform as expected or take longer than expected to become fully functional.
*Tesla may be required to defend or insure against product liability claims.
*Tesla will need to maintain public credibility and confidence in its long-term business prospects in order to succeed.
*Tesla may be unable to effectively grow, or manage the compliance, residual value, financing and credit risks related to, its various financing programs.
*Tesla must manage ongoing obligations under its agreement with the Research Foundation for the State University of New York relating to its Gigafactory New York.
*If Tesla is unable to attract, hire and retain key employees and qualified personnel, its ability to compete may be harmed.
*If Tesla is unable to attract, hire and retain key employees and qualified personnel, its ability to compete may be harmed.
*Tesla is highly dependent on the services of Elon Musk, its Chief Executive Officer.
*Tesla is highly dependent on the services of Elon Musk, its Chief Executive Officer.
Line 1,395: Line 1,210:
| Which valuation model do you want to use?
| Which valuation model do you want to use?
|Discounted cash flow  
|Discounted cash flow  
| There are two main approaches to estimate the value of an investment:  
| There are two main approaches to estimating the value of an investment:  
# By calculating the present value of the investment's expected future cash flows (i.e. discounted cash flow valuation); and
# By calculating the present value of the investment's expected future cash flows (i.e. discounted cash flow valuation); and
#By comparing the investment to other similar investments (i.e. relative valuation).
#By comparing the investment to other similar investments (i.e. relative valuation).


Research suggests that in terms of estimating the expected return of an investment over a period of 12-months or more, the approach that is more accurate is the discounted cash flow approach<ref name=":5">Demirakos et al., 2010; Gleason et al., 2013</ref>, so that's the approach that he Stockhub users suggest to use here; nevertheless, for completeness purposes, separately, the valuation of the company is also estimated using the using the relative valuation approach (the valuation based on the relative approach can be found in the appendix of this report).   
Research suggests that in terms of estimating the expected return of an investment over a period of 12 months or more, the approach that is more accurate is the discounted cash flow approach<ref name=":5">Demirakos et al., 2010; Gleason et al., 2013</ref>; nevertheless, for completeness purposes, separately, the valuation of the company is also estimated using the relative valuation approach (the valuation based on the relative approach can be found in the appendix of this report).   


Tesla has never paid cash dividends, and on 7th February 2022, it said that it currently does not anticipate paying any cash dividends in the foreseeable future. Accordingly, the Stockhub users suggest using the free cash flow valuation method (rather than the dividend discount model).  
Tesla has never paid cash dividends, and on 7th February 2022, it said that it currently does not anticipate paying any cash dividends in the foreseeable future. Accordingly, the free cash flow valuation method is recommended(rather than the dividend discount model).  
|-
|-
|Which financial forecasts to use?
|Which financial forecasts to use?
Line 1,469: Line 1,284:
|-
|-
|The size of the total addressable market
|The size of the total addressable market
|N/A
|(18%)
|(24%)
|(24%)
|N/A
|(36%)
|-
|-
|Tesla peak market share
|Tesla peak market share
|N/A
|(30%)
| (24%)
| (24%)
| N/A
| (12%)
|-
|-
|The discount rate
|The discount rate


|N/A
|(32%)
|(24%)
|(24%)
| N/A
| (18%)


|}
|}
Line 1,789: Line 1,604:
|+Balance sheet
|+Balance sheet
!Year end date
!Year end date
!31/12/2022
!31/12/2021
!31/12/2021
!31/12/2020
!31/12/2020
Line 1,795: Line 1,611:
|-
|-
|'''Current Assets'''
|'''Current Assets'''
|
|
|
|
|
Line 1,801: Line 1,618:
|-
|-
|Cash and Cash Equivalents ($million)
|Cash and Cash Equivalents ($million)
|$16,253
|$17,576
|$17,576
|$19,384
|$19,384
Line 1,807: Line 1,625:
|-
|-
|Short-Term Investments ($million)
|Short-Term Investments ($million)
|$5,932
|$131
|$131
| --
| --
Line 1,813: Line 1,632:
|-
|-
|Net Receivables ($million)
|Net Receivables ($million)
|$2,952
|$1,913
|$1,913
|$1,886
|$1,886
Line 1,819: Line 1,639:
|-
|-
|Inventory ($million)
|Inventory ($million)
|$12,839
|$5,757
|$5,757
|$4,101
|$4,101
Line 1,825: Line 1,646:
|-
|-
|Other Current Assets ($million)
|Other Current Assets ($million)
|$2,941
|$1,723
|$1,723
|$1,346
|$1,346
Line 1,831: Line 1,653:
|-
|-
|Total Current Assets ($million)
|Total Current Assets ($million)
|$40,917
|$27,100
|$27,100
|$26,717
|$26,717
Line 1,837: Line 1,660:
|-
|-
|'''Long-Term Assets'''
|'''Long-Term Assets'''
|
|
|
|
|
Line 1,843: Line 1,667:
|-
|-
|Long-Term Investments ($million)
|Long-Term Investments ($million)
| --
| --
| --
| --
| --
Line 1,849: Line 1,674:
|-
|-
|Fixed Assets ($million)
|Fixed Assets ($million)
|$31,146
|$25,411
|$25,411
|$17,396
|$17,396
Line 1,855: Line 1,681:
|-
|-
|Goodwill ($million)
|Goodwill ($million)
|$194
|$200
|$200
|$207
|$207
Line 1,861: Line 1,688:
|-
|-
|Intangible Assets ($million)
|Intangible Assets ($million)
|$215
|$257
|$257
|$313
|$313
Line 1,867: Line 1,695:
|-
|-
|Other Assets ($million)
|Other Assets ($million)
|$9,866
|$9,163
|$9,163
|$7,515
|$7,515
Line 1,873: Line 1,702:
|-
|-
|Deferred Asset Charges ($million)
|Deferred Asset Charges ($million)
| --
| --
| --
| --
| --
Line 1,879: Line 1,709:
|-
|-
|Total Assets ($million)
|Total Assets ($million)
|$82,338
|$62,131
|$62,131
|$52,148
|$52,148
Line 1,885: Line 1,716:
|-
|-
|'''Current Liabilities'''
|'''Current Liabilities'''
|
|
|
|
|
Line 1,891: Line 1,723:
|-
|-
|Accounts Payable ($million)
|Accounts Payable ($million)
|$22,397
|$15,744
|$15,744
|$9,906
|$9,906
Line 1,897: Line 1,730:
|-
|-
|Short-Term Debt / Current Portion of Long-Term Debt ($million)
|Short-Term Debt / Current Portion of Long-Term Debt ($million)
|$1,502
|$1,589
|$1,589
|$2,132
|$2,132
Line 1,903: Line 1,737:
|-
|-
|Other Current Liabilities ($million)
|Other Current Liabilities ($million)
|$2,810
|$2,372
|$2,372
|$2,210
|$2,210
Line 1,909: Line 1,744:
|-
|-
|Total Current Liabilities ($million)
|Total Current Liabilities ($million)
|$26,709
|$19,705
|$19,705
|$14,248
|$14,248
Line 1,915: Line 1,751:
|-
|-
|Long-Term Debt ($million)
|Long-Term Debt ($million)
|$1,597
|$5,245
|$5,245
|$9,556
|$9,556
Line 1,921: Line 1,758:
|-
|-
|Other Liabilities ($million)
|Other Liabilities ($million)
|$5,330
|$3,546
|$3,546
|$3,330
|$3,330
Line 1,927: Line 1,765:
|-
|-
|Deferred Liability Charges ($million)
|Deferred Liability Charges ($million)
|$2,804
|$2,052
|$2,052
|$1,284
|$1,284
Line 1,933: Line 1,772:
|-
|-
|Misc. Stocks ($million)
|Misc. Stocks ($million)
|$785
|$826
|$826
|$850
|$850
Line 1,939: Line 1,779:
|-
|-
|Minority Interest ($million)
|Minority Interest ($million)
|$409
|$568
|$568
|$655
|$655
Line 1,945: Line 1,786:
|-
|-
|Total Liabilities ($million)
|Total Liabilities ($million)
|$37,634
|$31,374
|$31,374
|$29,268
|$29,268
Line 1,951: Line 1,793:
|-
|-
|'''Stock Holders Equity'''  
|'''Stock Holders Equity'''  
|
|
|
|
|
Line 1,957: Line 1,800:
|-
|-
|Common Stocks ($million)
|Common Stocks ($million)
|$1
|$1
|$1
|$1
|$1
Line 1,963: Line 1,807:
|-
|-
|Capital Surplus ($million)
|Capital Surplus ($million)
|$12,887
|$331
|$331
| style="color: red;" |-$5,399
| style="color: red;" |-$5,399
Line 1,969: Line 1,814:
|-
|-
|Retained Earnings
|Retained Earnings
| ---
| --
| --
| --
| --
Line 1,975: Line 1,821:
|-
|-
|Treasury Stock ($million)
|Treasury Stock ($million)
|$32,177
|$29,803
|$29,803
|$27,260
|$27,260
Line 1,981: Line 1,828:
|-
|-
|Other Equity ($million)
|Other Equity ($million)
| -$361
|$54
|$54
|$363
|$363
Line 1,987: Line 1,835:
|-
|-
|Total Equity ($million)
|Total Equity ($million)
|$44,704
|$30,189
|$30,189
|$22,225
|$22,225
Line 1,993: Line 1,842:
|-
|-
|Total Liabilities & Equity ($million)
|Total Liabilities & Equity ($million)
|$82,338
|$62,131
|$62,131
|$52,148
|$52,148
Line 2,002: Line 1,852:
|+Cash flow
|+Cash flow
!Year end date
!Year end date
!31/12/2022
!31/12/2021
!31/12/2021
!31/12/2020
!31/12/2020
Line 2,008: Line 1,859:
|-
|-
|Net Income ($million)
|Net Income ($million)
|$12,587
|$5,519
|$5,519
|$721
|$721
Line 2,014: Line 1,866:
|-
|-
|'''Cash Flows-Operating Activities'''
|'''Cash Flows-Operating Activities'''
|
|
|
|
|
Line 2,020: Line 1,873:
|-
|-
|Depreciation ($million)
|Depreciation ($million)
|$3,747
|$2,911
|$2,911
|$2,322
|$2,322
Line 2,026: Line 1,880:
|-
|-
|Net Income Adjustments ($million)
|Net Income Adjustments ($million)
|?
|$2,424
|$2,424
| $2,575
| $2,575
Line 2,032: Line 1,887:
|-
|-
|'''Changes in Operating Activities'''
|'''Changes in Operating Activities'''
|
|
|
|
|
Line 2,038: Line 1,894:
|-
|-
|Accounts Receivable ($million)
|Accounts Receivable ($million)
| -$1,124
| style="color: red;" |-$130
| style="color: red;" |-$130
| style="color: red;" |-$652
| style="color: red;" |-$652
Line 2,044: Line 1,901:
|-
|-
|Changes in Inventories ($million)
|Changes in Inventories ($million)
| -$6,465
| style="color: red;" |-$1,709
| style="color: red;" |-$1,709
| style="color: red;" |-$422
| style="color: red;" |-$422
Line 2,050: Line 1,908:
|-
|-
|Other Operating Activities ($million)
|Other Operating Activities ($million)
|?
| style="color: red;" |-$3,676
| style="color: red;" |-$3,676
| style="color: red;" |-$1,667
| style="color: red;" |-$1,667
Line 2,056: Line 1,915:
|-
|-
|Liabilities ($million)
|Liabilities ($million)
|?
|$6,033
|$6,033
|$2,925
|$2,925
Line 2,062: Line 1,922:
|-
|-
|Net Cash Flow-Operating ($million)
|Net Cash Flow-Operating ($million)
|$14,724
| $11,497
| $11,497
| $5,943
| $5,943
Line 2,068: Line 1,929:
|-
|-
|'''Cash Flows-Investing Activities'''
|'''Cash Flows-Investing Activities'''
|
|
|
|
|
Line 2,074: Line 1,936:
|-
|-
|Capital Expenditures ($million)
|Capital Expenditures ($million)
|$7,163
| style="color: red;" |-$6,514
| style="color: red;" |-$6,514
| style="color: red;" |-$3,232
| style="color: red;" |-$3,232
Line 2,080: Line 1,943:
|-
|-
|Investments ($million)
|Investments ($million)
| -$5,835
| style="color: red;" |-$132
| style="color: red;" |-$132
| --
| --
Line 2,086: Line 1,950:
|-
|-
|Other Investing Activities ($million)
|Other Investing Activities ($million)
|$1012
| style="color: red;" |-$1,222
| style="color: red;" |-$1,222
|$100
|$100
Line 2,092: Line 1,957:
|-
|-
|Net Cash Flows-Investing ($million)
|Net Cash Flows-Investing ($million)
| -$11,973
| style="color: red;" |-$7,868
| style="color: red;" |-$7,868
| style="color: red;" |-$3,132
| style="color: red;" |-$3,132
Line 2,098: Line 1,964:
|-
|-
|'''Cash Flows-Financing Activities'''
|'''Cash Flows-Financing Activities'''
|
|
|
|
|
Line 2,104: Line 1,971:
|-
|-
|Sale and Purchase of Stock ($million)
|Sale and Purchase of Stock ($million)
| --
|$699
|$699
|$12,675
|$12,675
Line 2,110: Line 1,978:
|-
|-
|Net Borrowings ($million)
|Net Borrowings ($million)
| --
| style="color: red;" |-$5,732
| style="color: red;" |-$5,732
| style="color: red;" |-$2,488
| style="color: red;" |-$2,488
Line 2,116: Line 1,985:
|-
|-
|Other Financing Activities ($million)
|Other Financing Activities ($million)
|
| --
| --
| --
| --
Line 2,122: Line 1,992:
|-
|-
|Net Cash Flows-Financing ($million)
|Net Cash Flows-Financing ($million)
| -$3,527
| style="color: red;" |-$5,203
| style="color: red;" |-$5,203
|$9,973
|$9,973
Line 2,128: Line 1,999:
|-
|-
|Effect of Exchange Rate ($million)
|Effect of Exchange Rate ($million)
| -$444
| style="color: red;" |-$183
| style="color: red;" |-$183
|$334
|$334
Line 2,134: Line 2,006:
|-
|-
|Net Cash Flow ($million)
|Net Cash Flow ($million)
| -$1,220
| style="color: red;" |-$1,757
| style="color: red;" |-$1,757
|$13,118
|$13,118
Line 2,404: Line 2,277:
In the typical case in which the equity risk premium is based on a national equity market index and estimated beta is based on sensitivity to that index, the assumption is being made implicitly that equity prices are largely determined by local investors. When equities markets are segmented in that sense (i.e., local market prices are largely determined by local investors rather than by investors worldwide), two issues with the same risk characteristics can have different required returns if they trade in different markets.
In the typical case in which the equity risk premium is based on a national equity market index and estimated beta is based on sensitivity to that index, the assumption is being made implicitly that equity prices are largely determined by local investors. When equities markets are segmented in that sense (i.e., local market prices are largely determined by local investors rather than by investors worldwide), two issues with the same risk characteristics can have different required returns if they trade in different markets.


The opposite assumption is that all investors worldwide participate equally in set- ting prices (perfectly integrated markets). That assumption results in the international CAPM (or world CAPM) in which the risk premium is relative to a world market portfolio. In practice, the international CAPM is not commonly relied on for required return on equity estimation.
The opposite assumption is that all investors worldwide participate equally in setting prices (perfectly integrated markets). That assumption results in the international CAPM (or world CAPM) in which the risk premium is relative to a world market portfolio. In practice, the international CAPM is not commonly relied on for required return on equity estimation.


For estimating the required return on the equity using the Capital Asset Pricing Model, in terms of time period, and frequency of observations, the most common choice is five years of monthly data, yielding 60 observations. One study of U.S. stocks found support for five years of monthly data over alternatives. An argument can be made that the 2 years, weekly data can be especially appropriate in fast growing markets.
For estimating the required return on the equity using the Capital Asset Pricing Model, in terms of time period, and frequency of observations, the most common choice is five years of monthly data, yielding 60 observations. One study of U.S. stocks found support for five years of monthly data over alternatives. An argument can be made that the 2 years, weekly data can be especially appropriate in fast growing markets.
Line 2,410: Line 2,283:
The beta value in a future period has been found to be on average closer to the mean value of 1.0, the beta of an average-systematic-risk security, than to the value of the raw beta. Because valuation is forward looking, it is logical to adjust the raw beta so it more accurately predicts a future beta.
The beta value in a future period has been found to be on average closer to the mean value of 1.0, the beta of an average-systematic-risk security, than to the value of the raw beta. Because valuation is forward looking, it is logical to adjust the raw beta so it more accurately predicts a future beta.


The figure here is taken from Yahoo Finance (https://uk.finance.yahoo.com/quote/AAPL?p=AAPL&.tsrc=fin-srch), on 16th September 2022.
The figure here is taken from Yahoo Finance on 16th September 2022<ref>https://uk.finance.yahoo.com/quote/AAPL?p=AAPL&.tsrc=fin-srch</ref>.
|-
|-
|Equity risk premium (%)
|Equity risk premium (%)
Line 2,427: Line 2,300:
'''Forward-looking estimates'''
'''Forward-looking estimates'''


Because the equity risk premium is based only on expectations for economic and financial variables from the present going forward, it is logical to estimate the premium directly based on current information and expectations concerning such variables. Such estimates are often called forward-looking or ex ante estimates. In principle, such estimates may agree with, be higher, or be lower than historical equity risk premium estimates. Ex ante estimates are likely to be less subject to an issue such as non-stationarity or data biases than historical estimates. However, such estimates are often subject to other potential errors related to financial and economic models and potential behavioural biases in forecasting.
Because the equity risk premium is based only on expectations for economic and financial variables from the present going forward, it is logical to estimate the premium directly based on current information and expectations concerning such variables. Such estimates are often called forward-looking or ex ante estimates. In principle, such estimates may agree with, be higher, or be lower than historical equity risk premium estimates. Ex ante estimates are likely to be less subject to an issue such as non-stationarity or data biases than historical estimates. However, such estimates are often subject to other potential errors related to financial and economic models and potential behavioural biases in forecasting. Here, the equity risk premium is in relation to the global region, and is calculated as at 1st January 2022 <ref>https://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/ctryprem.html</ref>.
 
Here, the equity risk premium is in relation to the global region, and is calculated as at 1st January 2022 (<nowiki>https://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/ctryprem.html</nowiki>).
|-
|-
|Cost of equity (%)
|Cost of equity (%)
Line 2,673: Line 2,544:
|Agriculture, Forestry and Land Use
|Agriculture, Forestry and Land Use
|}
|}
=== Liquidity ===
Our assessment reveals that Tesla's shares exhibit a high level of liquidity, as evidenced by its bid-ask margin of 0.0297%. To gauge the bid-ask margin, we divided the ask-bid spread by the ask price. Our criterion for classifying an investment as 'highly' liquid is a bid-ask margin of 1% or less. For more details on liquidity ratings, please refer to the appendix section of this report.
Furthermore, the average daily trading volume of Tesla, Inc. shares is 132,160,233 for 30 days and 127,970,670 for 90 days, which, based on the current share price (i.e. $168.29), equates to a share value of $22.24 billion and $21.54 billion.
{| class="wikitable"
|+Tesla bid-ask margin
!Metric
!Amount
|-
|Bid price (USD)
|168.24
|-
|Ask price (USD)
|168.29
|-
|Spread (USD)
|0.05
|-
|Margin (%)
|0.0297
|}
{| class="wikitable"
|+Average Tesla shares trade volume
!Days
!Average shares volume
|-
|30 days
|   132,160,233
|-
|90 days
|  127,970,670
|}
{| class="wikitable"
|+Tesla shares trade volume over the last 90 days
!Date
!Volume
|-
|28/04/2023
|        122,515,800
|-
|01/05/2023
|        109,015,000
|-
|02/05/2023
|        128,259,700
|-
|03/05/2023
|        119,728,000
|-
|04/05/2023
|          95,108,500
|-
|05/05/2023
|        107,440,900
|-
|08/05/2023
|        112,249,400
|-
|09/05/2023
|          88,965,000
|-
|10/05/2023
|        119,840,700
|-
|11/05/2023
|        103,889,900
|-
|12/05/2023
|        157,577,100
|-
|15/05/2023
|        105,592,500
|-
|16/05/2023
|          98,288,800
|-
|17/05/2023
|        125,473,600
|-
|18/05/2023
|        109,520,300
|-
|19/05/2023
|        136,024,200
|-
|22/05/2023
|        132,001,400
|-
|23/05/2023
|        156,952,100
|-
|24/05/2023
|        137,605,100
|-
|25/05/2023
|          96,870,700
|-
|26/05/2023
|        162,061,500
|-
|30/05/2023
|        128,818,700
|-
|31/05/2023
|        150,711,700
|-
|01/06/2023
|        148,029,900
|-
|02/06/2023
|        164,129,000
|-
|05/06/2023
|        151,143,100
|-
|06/06/2023
|        146,911,600
|-
|07/06/2023
|        185,710,800
|-
|08/06/2023
|        164,489,700
|-
|09/06/2023
|        199,882,300
|-
|12/06/2023
|        150,337,900
|-
|13/06/2023
|        162,384,300
|-
|14/06/2023
|        170,575,500
|-
|15/06/2023
|        160,171,200
|-
|16/06/2023
|        167,563,700
|-
|20/06/2023
|        165,611,200
|-
|21/06/2023
|        211,797,100
|-
|22/06/2023
|        166,875,900
|-
|23/06/2023
|        176,584,100
|-
|26/06/2023
|        179,990,600
|-
|27/06/2023
|        164,968,200
|-
|28/06/2023
|        159,770,800
|-
|29/06/2023
|        131,283,400
|-
|30/06/2023
|        112,267,600
|-
|03/07/2023
|        119,685,900
|-
|05/07/2023
|        131,530,900
|-
|06/07/2023
|        120,332,100
|-
|07/07/2023
|        113,602,000
|-
|10/07/2023
|        119,425,400
|-
|11/07/2023
|          91,972,400
|-
|12/07/2023
|          95,672,100
|-
|13/07/2023
|        112,681,500
|-
|14/07/2023
|        119,771,100
|-
|17/07/2023
|        131,569,600
|-
|18/07/2023
|        112,434,700
|-
|19/07/2023
|        142,355,400
|-
|20/07/2023
|        175,158,300
|-
|21/07/2023
|        161,050,100
|-
|24/07/2023
|        136,508,500
|-
|25/07/2023
|        112,757,300
|-
|26/07/2023
|          95,856,200
|-
|27/07/2023
|        103,697,300
|-
|28/07/2023
|        111,446,000
|-
|31/07/2023
|          84,582,200
|-
|01/08/2023
|          83,166,000
|-
|02/08/2023
|        101,752,900
|-
|03/08/2023
|          97,569,100
|-
|04/08/2023
|          99,242,600
|-
|07/08/2023
|        111,097,900
|-
|08/08/2023
|          96,642,200
|-
|09/08/2023
|        101,596,300
|-
|10/08/2023
|        109,498,600
|-
|11/08/2023
|          98,866,600
|-
|14/08/2023
|          98,595,300
|-
|15/08/2023
|          88,197,600
|-
|16/08/2023
|        112,484,500
|-
|17/08/2023
|        120,718,400
|-
|18/08/2023
|        135,813,700
|-
|21/08/2023
|        135,702,700
|-
|22/08/2023
|        130,597,900
|-
|23/08/2023
|        101,077,600
|-
|24/08/2023
|          99,777,400
|-
|25/08/2023
|        106,612,200
|-
|28/08/2023
|        107,673,700
|-
|29/08/2023
|        134,047,600
|-
|30/08/2023
|        121,988,400
|-
|31/08/2023
|        108,861,700
|-
|01/09/2023
|        132,272,500
|-
|05/09/2023
|        129,469,600
|-
|06/09/2023
|        116,959,800
|}


== Notes==
== Notes==
Line 3,032: Line 2,594:


The kilowatt-hour (kWh) is a unit of energy equal to one kilowatt of power sustained for one hour and is commonly used as a measure of electrical energy. One kilowatt-hour is equal to 3600 kilojoules (3.6 megajoules).
The kilowatt-hour (kWh) is a unit of energy equal to one kilowatt of power sustained for one hour and is commonly used as a measure of electrical energy. One kilowatt-hour is equal to 3600 kilojoules (3.6 megajoules).
'''Powerwall annual cost calculation'''
{| class="wikitable"
{| class="wikitable"
|+'''Powerwall annual cost calculation'''
|+'''Powerwall annual cost calculation'''
Please note that all contributions to Stockhub may be edited, altered, or removed by other contributors. If you do not want your writing to be edited mercilessly, then do not submit it here.
You are also promising us that you wrote this yourself, or copied it from a public domain or similar free resource (see Stockhub:Copyrights for details). Do not submit copyrighted work without permission!
Cancel Editing help (opens in new window)

Stockhub entities used in this page

Templates used on this page: