Tesla Inc
NASDAQ:TSLA

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Tesla Inc
NASDAQ:TSLA
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Price: 284.7 USD -14.26% Market Closed
Market Cap: 917B USD

ROCE
Return on Capital Employed

8.1%
Current
18%
Average
3.5%
Industry

ROCE, or Return on Capital Employed, is a financial ratio that measures a company’s profitability in relation to the capital it employs.

ROCE
8.1%
=
EBIT
7.1B
/
Capital Employed
87.6B

ROCE Across Competitors

Tesla Inc
Glance View

Economic Moat
Narrow
Market Cap
916.7B USD
Industry
Automobiles

Tesla Inc., founded by Martin Eberhard and Marc Tarpenning in 2003 and later significantly shaped by Elon Musk, represents a transformative force in the automotive and energy sectors. What began as a niche startup, with an ambitious vision of creating electric cars accessible to the masses, has evolved into a multinational powerhouse. Tesla's key to success lies in its vertically integrated business model, which distinguishes it from traditional automakers. By keeping design, manufacturing, and even parts production largely in-house, Tesla not only reduces costs but also rapidly innovates. This model facilitates swift adaptation to new technological advancements and market demands, effectively condensing the typical automotive industry's lethargic timelines. Tesla's operations span across designing and producing electric vehicles—such as the Model S, Model 3, Model X, and Model Y—along with energy solutions including solar panels and energy storage products like the Powerwall and Powerpack. Tesla's financial engine is driven primarily by its automotive sales, but it bolsters this with diverse revenue streams. In addition to selling vehicles outright, they offer leasing options, yielding recurring revenue. Another cornerstone is their software prowess, particularly in autonomous driving technology and vehicle connectivity, which continually attracts consumer interest and corporate partnerships. Tesla's Supercharger network—comprising an extensive array of fast-charging stations—encourages EV adoption, adding another dimension to their integrated ecosystem. Meanwhile, in the energy sector, Tesla deploys its solar and storage solutions to both residential and commercial clients, capitalizing on the global shift towards renewable energy. This comprehensive approach not only positions Tesla as a leader in sustainable innovation but also fortifies its financial stability through diverse and complementary income sources.

TSLA Intrinsic Value
54.37 USD
Overvaluation 81%
Intrinsic Value
Price
What is Return on Capital Employed?

ROCE, or Return on Capital Employed, is a financial ratio that measures a company’s profitability in relation to the capital it employs.

ROCE
8.1%
=
EBIT
7.1B
/
Capital Employed
87.6B
What is the ROCE of Tesla Inc?

Based on Tesla Inc's most recent financial statements, the company has ROCE of 8.1%.

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