| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 125.40 | -66 |
| Intrinsic value (DCF) | 100.38 | -73 |
| Graham-Dodd Method | 29.20 | -92 |
| Graham Formula | 17.50 | -95 |
Tesla, Inc. (TL0.DE) is a global leader in electric vehicles (EVs) and renewable energy solutions, headquartered in Austin, Texas. The company operates in two key segments: Automotive and Energy Generation & Storage. Tesla's Automotive segment includes the design, manufacturing, and sale of high-performance electric vehicles such as the Model S, Model 3, Model X, and Model Y, along with regulatory credit sales and aftermarket services. The Energy segment focuses on solar energy products, battery storage solutions like Powerwall and Powerpack, and solar roof installations. Tesla's vertically integrated business model, proprietary Supercharger network, and cutting-edge autonomous driving technology (Full Self-Driving) set it apart in the rapidly growing EV market. With a market capitalization exceeding €956 billion, Tesla is a dominant force in the Consumer Cyclical sector, driving innovation in sustainable transportation and energy storage. The company's direct-to-consumer sales approach, Gigafactories worldwide, and strong brand loyalty position it as a key player in the transition to clean energy.
Tesla presents a high-growth investment opportunity with significant upside potential but also notable risks. The company's leadership in the EV market, technological innovation, and expanding energy storage business are key strengths. However, its high beta (2.434) indicates substantial volatility, and the stock trades at a premium valuation relative to traditional automakers. Tesla's revenue growth (€97.69 billion in FY 2023) and profitability (€7.13 billion net income) are impressive, but competition is intensifying globally. The lack of dividends may deter income-focused investors, while capital expenditures (€11.34 billion) reflect aggressive expansion plans. Tesla's strong cash position (€16.14 billion) provides liquidity, but execution risks in scaling production and macroeconomic factors could impact performance. Investors should weigh Tesla's first-mover advantage against increasing competition and regulatory challenges in key markets.
Tesla maintains a strong competitive advantage through its vertically integrated supply chain, proprietary technology, and industry-leading battery efficiency. The company's Supercharger network (with over 45,000 chargers globally) provides a significant moat, as competitors rely on third-party charging infrastructure. Tesla's Full Self-Driving (FSD) software and over-the-air update capability differentiate its vehicles from traditional automakers' offerings. However, the competitive landscape is intensifying as legacy automakers (Ford, GM, Volkswagen) accelerate their EV transitions with substantial R&D budgets. In China, BYD has surpassed Tesla in local EV sales through aggressive pricing and broader model offerings. Tesla's direct sales model avoids dealer markups but faces legal challenges in some states. The Energy segment competes with solar specialists like Sunrun and battery manufacturers like LG Energy Solution. Tesla's brand strength and Elon Musk's visionary leadership remain intangible assets, though reliance on a single charismatic leader presents governance risks. The company's ability to maintain technological leadership while scaling production efficiently will determine its long-term competitive position against well-capitalized rivals entering the EV space.