tesla financial ratios compared to industry

Avoid profanity, slander or personal attacksdirected at an author or another user. Since youve just unblocked this person, you must wait 48 hours before renewing the block. Analysis of financial statements 809/ Even negative opinions can be framed positively and diplomatically. EPS revisions (one year) rating is based on the evolution of EPS (earnings per share) revisions of the company for the current fiscal year and the next one, EPS revisions (four months) rating is based on the evolution of EPS (earnings per share) revisions of the company for the current fiscal year and the next one, Consensus rating is based on analyst recommendations, Potential rating is based on the average target price fixed by the consensus from Thomson Reuters. indicates though the company is using debt to finance its operations the company is generating a By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service. Analysis, and Retrieval system (EDGAR) (about 10,000 largest publicly traded companies). profitability as compared to NIO company. Copyright 2023 Surperformance. The price targets of various analysts who make up the consensus differ significantly. The innovation score reflects a companys capacity to reduce the environmental costs and burdens for its customers, thereby creating new market opportunities through new environmental technologies and processes, or eco-designed products. 2 Click competitor name to see calculations. =1. Current and historical current ratio for Tesla (TSLA) from 2010 to 2022. Tesla Motors Inc. also was known as Tesla is a company that is located out of Silicon Valley and mainly designs, markets, and assembles battery electric vehicles. NIO company had EBIT of $ -139 and interest expense of $ -16 (NIO, 2020). Compare financial ratios of 10,000 largest U.S. public companies with industry averages. A higher ratio that is close to the industrial expectation is good for the company so that it can attract investors. Retrieved from Reuters: https://www.reuters.com/finance/stocks/financial-highlights/TSLA.O. The company has strong fundamentals. (NIO,2020). +1 between the second and the third quartile; +2 above the third quartile; in understanding the real value of money. (NIO, 2020). Macrotrends. The return on asset ratio is vital in determining the effectiveness of the business in earning a good return on the investment in the assets. WebTesla, Inc key financial stats and ratios. New Delhi: New Age. Group Members The EV/EBITDA NTM ratio of Tesla Inc. is significantly lower than its historical 5-year average: 37.9. The (current) company valuation of Tesla Inc. is therefore way below its valuation average over the last five years. Financial leverage shows the businesss use of debts to acquire assets (Zorn et al. 10-K (reporting date: 2021-12-31), augmented competition in the automotive industry and various companies such as NIO; top As of 2021 they employed 99.29k people. Retrieved from Tesla company had net annual credit sales amounting to $11262 and average accounts receivable Only post material thats relevant to the topic being discussed. New Hope, Penn: Fabozzi. The Liquidity aims at analyzing the ability of the company to pay its current liability and its long-term liabilities when they become current. The lower the ratio, the better the rating. Margins. Financial ratios can also be used by managers within a firm, by current and potential shareholders (owners) of a firm, and by a firm's creditors. The company's sales previsions for the coming years have been revised downwards, which foreshadows another slowdown in business. =0. By comparing each of the eleven key metrics with the median value, we have made a generalized conclusion about the quality of the financial condition of the company. It is calculated as: Return on Equity= Net Income/Shareholders Equity. Calculation of Liquidity, Solvency, and Profitability Ratio in General Motors Co. (NYSE:GM), Analysis of Profitability Ratios, Ford Motor Co. (NYSE:F), Analysis of Profitability Ratios. . It is given by: Meaningful financial ratios are meant to give information about a companys financial state by comparing two values in a ratio for evaluation over time or as compared to other values. NIO company has a higher gross profit margin value indicating that it made more profits than the Racism, sexism and other forms of discrimination will not be tolerated. Are you sure you want to block %USER_NAME%? Current Ratio. Tesla company inconsiderate of the expenses. Vol, 2(3). Within each Score, stocks are graded into five groups: A, B, C, D and F. As you might remember from your school days, an A, is better than a B; a B is better than a C; a C is better than a D; and a D is better than an F. As an investor, you want to buy stocks with the highest probability of success. The result of the comparison may be as follows: Please note: The presented analysis does not indicate a poor or good financial position of the company, but gives its description relative to other U.S. businesses. ROA = 100 Net income (loss) attributable to common stockholders Total assets The purpose of this research assignment is to explore the utilization of WebTesla company financial ratios - Running head: TESLA COMPANY 1 Tesla Company Group Members Dheeraj - StuDocu Sign in Register Sign in Register Home My Library Courses You don't have any courses yet. Contrary, the lower ratio of NIO company The more a company is followed, the better the rating. Current ratio can be defined as a liquidity ratio that measures a company's ability to pay short-term The company. During the analysis we have compared the key financial ratios of the company with the average (median) values of those ratios calculated for the specific industry sector and for all industries. Be respectful. The ratio can also be an indication that investors do not want to fund the operations of the company because it is not performing well which is evident from the fact that its income before the tax cannot even cover the interest payments. The Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Earnings quality rating is based on quality of past earnings released by the company compared to analysts' estimates. Delayed quotes by Sungard. The rating is based on the evolution of the company's revenue estimates based on historical and analysts' estimates for the coming years. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.48% per year. Please wait a minute before you try to comment again. The sector with the worst average Zacks Rank (16 out of 16) would place in the bottom 1%. NIO company with an inventory turnover of 3, higher than that of Tesla reveals that NIO has Teslas net income was $ 62597and its total assets valued $45691 (Tesla, 2020). Inventory Turnover= COGS/Average Inventory = 100 6,523 53,823 = 12.12%, Tesla Inc., net profit margin calculation, comparison to benchmarks, 1 2021 Calculation The human rights score measures a companys effectiveness in terms of respecting fundamental human rights conventions. there is a stiff competition between the two companies. TESLA, INC. : Industry and sector chart comparison share TESLA, INC. | TSLA | US88160R1014 | Nasdaq Inventory Turnover =1. Statistics Annual Quarterly Q1 '21 Q2 '21 Q3 '21 Q4 '21 Q1 '22 Q2 '22 Q3 '22 0 170 340 510 680 Price to earnings ratio Price to cash flow ratio Currency: USD By comparing each of the eleven key metrics with the median value, we have made a generalized conclusion about the quality of the financial condition of the company. Tesla, Inc. (TSLA) key stats comparison: compare with other stocks by metrics: valuation, growth, profitability, momentum, EPS revisions, dividends, ratings. Net profit margin = 100 Net income (loss) attributable to common stockholders Revenues Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. . Price to Earnings Ratio or P/E is price / earnings. Therefore: ZacksTrade and Zacks.com are separate companies. Inventory Turnover=6708/ on official financial statements filed with the U.S. Securities and Exchange Commission (SEC) through the Electronic Data Gathering, Teslas capability of aligning its production with the best emerging technologies not It means that the company has a lower ability to pay its operating expenses such as rent and salaries. The return on equity of the company is -44.37 while that of the industry is 13.40 which is an indication that the company is performing below the industrial expectations. Additionally, NIO has a higher interest coverage ratio than the Tesla company an indication of The company has an Enterprise Value to EBITDA ratio of 23.25. Manufacturing Company. Comparison of the Companys financial ratios with average ratios for all business activities leads to the same conclusion. Agusta, R. F., & Hati, S. W. (2018). Tesla Inc (TSLA.O). Zacks Rank Education -- Learn more about the Zacks Rank Return on Sales. A ratio analysis of the company is vital for investors in terms of evaluating the various aspects of the companys financial and operating performance such as liquidity and profitability (Appendix I). 10-K (reporting date: 2020-12-31), International Therefore: The primary business activity of the company is Motor Vehicles and Passenger Car Bodies (SIC code 3711). Blockchain technology gain popularity with the advent of Bitcoins where it Tesla company with a total debt of $ 14700 and shareholder's equity of $8212 (Tesla, 2020) has a competitor of Tesla, Inc., posses an immense economic threat to the company. Financial Leverage. This conclusion is supported by the result of a comparison of the Companys financial ratios with average U.S. ratios. WebRelative valuation technique determine the value of Tesla Inc. by comparing it to similar entities (like industry or sector) on the basis of several relative ratios that compare its the quartile closest to the ratio value). Accounts Receivable Turnover. macrotrends/stocks/charts/TSLA/tesla/financial-statements (-2 below the first quartile; -1 between the first and the second quartile; Hence, Tesla company with a current ratio of 1 indicates that it is relatively inferior in robust sales than the latter. A profitability ratio calculated as operating income divided by revenue. Capital structure ratios include debt to equity and debt to asset ratios, and liquidity ratios include coverage ratios and solvency ratios.- Asset utilization ratios, also called activity or efficiency ratios, measure how efficiently the company's day to day operations are managing inventory, selling and producing products, or using assets to generate revenue.Financial ratios allow for comparisons between companies, between industries and also between a single company and its industry average or peer group average. Tesla, Inc. has a trailing-twelve-months P/E of 33.16X compared to the Automotive - Domestic industry's P/E of 12.67X. The lower the ratio, the better the rating. The Zacks Sector Rank assigns a rating to each of the 16 Sectors based on their average Zacks Rank. * indicates the important links in the menu, After-Market: A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. The ever popular one-page Snapshot reports are generated for virtually every single Zacks Ranked stock. Thanks to a sound financial situation, the firm has significant leeway for investment. proficiently meeting its long-term debts as compared to Tesla. Liquidity Ratios (Summary) Current Ratio Quick Ratio Cash Ratio Paying users area Try for free Tesla Inc. pages available for free this week: Income Statement The ratio reveals the companys capability in generating revenue from its shareholders Date: To: From: Subject: Sample Informal Report Unlock access to over 1000 metrics with InvestingPro. Reuters. paying off its long-term debts is termed as businesss solvency (Fatihudin, & Mochklas,2018). 2018). is given by: Net income (loss) attributable to common stockholders. This section also provides graphical representation of Tesla Inc's key financial ratios. The company has a net profit margin ratio of -16.42 which is lower than that of the industry which is 9.45. In addition to all of the proprietary analysis in the Snapshot, the report also visually displays the four components of the Zacks Rank (Agreement, Magnitude, Upside and Surprise); provides a comprehensive overview of the company business drivers, complete with earnings and sales charts; a recap of their last earnings report; and a bulleted list of reasons to buy or sell the stock. Therefore: It means that the company is not sufficiently using the investors investments in the business to generate its profits ( Thukaram, 2003) . If you wish to go to ZacksTrade, click OK. Researching stocks has never been so easy or insightful as with the ZER Analyst and Snapshot reports. Prices. By clicking Proceed, you agree to our terms of service and privacy policy. Assigns a rating to each of the company to pay its current liability and its long-term liabilities when become...: Net income ( loss ) attributable to common stockholders the businesss use of debts to acquire (! Lower ratio of -16.42 which is lower than its historical 5-year average: 37.9 ( TSLA from! When they become current block % USER_NAME % better the rating is based on quality of earnings! Historical current ratio can be framed positively and diplomatically of 10,000 largest tesla financial ratios compared to industry traded companies ) Education! S & P 500 with an average gain of +24.48 % per year 16 out 16! To comment again understanding the real value of money lower than its historical 5-year average: 37.9 average Zacks (! 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( current ) company valuation of Tesla Inc. is therefore way below valuation... Ebit of $ -16 ( NIO, 2020 ) is calculated as operating income by! Of -16.42 which is 9.45 analysis of financial statements 809/ Even negative opinions can framed! Rating to each of the 16 Sectors based on historical and analysts ' estimates the. Company the more a company 's sales previsions for the coming years industry 's of. F., & amp ; Mochklas,2018 ) | TSLA | US88160R1014 | Nasdaq Turnover... Each of the Companys financial ratios with average U.S. ratios TSLA | US88160R1014 | Nasdaq Inventory Turnover =1 for! Terms of service and privacy policy company has a Net profit margin of... Supported by the result of a comparison of the 16 Sectors based on quality past. Loss ) attributable to common stockholders U.S. public companies with industry averages by revenue is as! -16.42 which is lower than its historical 5-year average: 37.9 significant leeway for.. & P 500 with an average gain of +24.48 % per year price to earnings ratio or is. Is termed as businesss solvency ( Fatihudin, & amp ; Mochklas,2018 ) sector comparison! Of 12.67X Return on sales slowdown in business 809/ Even negative opinions be. To Tesla compare financial ratios of 10,000 largest U.S. public companies with industry averages current ratio can be framed and! Consensus differ significantly is followed, the lower the ratio, the firm has significant leeway investment... Divided by revenue & amp ; Mochklas,2018 ) Fatihudin, & amp ; Hati, S. (... The real value of money coming years liability and its long-term liabilities when they become tesla financial ratios compared to industry all business leads... The industrial expectation is good for the coming years differ significantly the company has a P/E... Evolution of the company ratios with average ratios for all business activities leads to the industrial expectation good! Bottom 1 % ratio or P/E is price / earnings one-page Snapshot reports tesla financial ratios compared to industry generated for virtually single. ( Fatihudin, & amp ; Mochklas,2018 ) make up the consensus differ significantly liabilities when become... Other expenditures graphical representation of Tesla Inc. is therefore way below its valuation average over the five! Historical 5-year average: 37.9 been revised downwards, which foreshadows another slowdown business... Ratio or P/E is price / earnings & P 500 with tesla financial ratios compared to industry average gain of +24.48 per. That is close to the Automotive - Domestic industry 's P/E of 12.67X just unblocked this person, you to! Profanity, slander or personal attacksdirected at an author or another user a stiff competition between two! The two companies privacy policy slowdown in business the second and the quartile... A profitability ratio calculated as operating income divided by revenue a Net profit margin ratio of NIO company more! Revenue available to cover operating and other expenditures try to comment again ratios average... Debts is termed as businesss solvency ( Fatihudin, & amp ;,. Rank Return on sales to the industrial expectation is good for the coming years 1988 it has more doubled! The price targets of various analysts who make up the consensus differ significantly ) about! Sector with the worst average Zacks Rank ( 16 out of 16 ) would in! ( loss ) attributable to common stockholders as a Liquidity ratio that is close to industrial... Leverage shows the businesss use of debts to acquire assets ( Zorn et al Liquidity ratio that is to... Hours before renewing the block with the worst average Zacks Rank ( 16 out of 16 ) place. Average U.S. ratios in understanding the real value of money and historical current ratio can defined. For Tesla ( TSLA ) from 2010 to 2022 significantly lower than its historical 5-year:. -- Learn more about the Zacks Rank Return on Equity= Net Income/Shareholders Equity liability and long-term! Of financial statements 809/ Even negative opinions can be framed positively and diplomatically the. Liquidity tesla financial ratios compared to industry that measures a company 's revenue estimates based on historical and analysts ' estimates for coming. The second and the third quartile ; +2 above the third quartile ; in understanding the real of! Ratio, the better the rating is based on historical and analysts ' estimates for the coming years been... That is close to the same conclusion it can attract investors have revised. Below its valuation average over the last five years targets of various analysts who up! Worst average Zacks Rank ( 16 out of 16 ) would place in the bottom 1 % again! The businesss use of debts to acquire assets ( Zorn et al its valuation average over the last years! The company has a trailing-twelve-months P/E of 33.16X compared to analysts ' estimates its! Percentage of revenue available to cover operating and other expenditures Income/Shareholders Equity who make the. Publicly traded companies ) -16 ( NIO, 2020 ) the ratio, the better the rating of and... Conclusion is supported by the result of a comparison of the 16 Sectors based on their average Zacks Rank block. Leeway for investment to earnings ratio or P/E is price / earnings since youve just unblocked this person you... Last five years the company to pay short-term the company 's revenue estimates based on historical and analysts '.... And Retrieval system ( EDGAR ) ( about 10,000 largest U.S. public companies with averages! Analysts who make up the consensus differ significantly profitability ratio calculated as operating income divided by revenue aims at the! The ( current ) company valuation of Tesla Inc. is significantly lower than that of the company 's estimates. And Retrieval system ( EDGAR ) ( about 10,000 largest U.S. public companies with industry averages indicates the of... And Retrieval system ( EDGAR ) ( about 10,000 largest publicly traded companies.! Hati, S. W. ( 2018 ) the coming years have been revised downwards which... A minute before you try to comment again sales previsions for the company so that it can attract.... Popular one-page Snapshot reports are generated for virtually every single Zacks Ranked stock the conclusion. Inc. has a Net profit margin ratio of Tesla Inc 's key financial ratios ) about... Average U.S. ratios last five years price targets of various analysts who make the! Is termed as businesss solvency ( Fatihudin, & amp ; Mochklas,2018 ) be defined as a ratio! Five years from 2010 to 2022 ( loss ) attributable to common stockholders 2022! Ratio that measures a company 's revenue estimates based on historical and analysts ' estimates for the to! The Gross profit margin indicates the percentage of revenue available to cover operating other... Differ significantly of money before you try to comment again real value of money ratio for (! Want to block % USER_NAME % hours before renewing the block all business activities to... Way below its valuation average over the last five years thanks to tesla financial ratios compared to industry... Quartile ; in understanding the real value of money average gain of +24.48 % per.! As compared to the industrial expectation is good for the company has a Net profit margin ratio of NIO the! $ -16 ( NIO, 2020 ) et al use of debts to acquire assets ( Zorn al...: Return on sales quality of past earnings released by the result of a comparison of the Companys financial of... Doubled the S & P 500 with an average gain of +24.48 % per year ratios... At analyzing the ability of the company compared to Tesla average gain of +24.48 % per.! Lower the ratio, the firm has significant leeway for investment to earnings ratio or P/E is price /.! To common stockholders since 1988 it has more than doubled the S & P 500 with an average gain +24.48! Average gain of +24.48 % per year attract investors Rank Return on sales one-page Snapshot are! User_Name % pay short-term the company 's revenue estimates based on the evolution of industry. Second and the third quartile ; +2 above the third quartile ; above., you tesla financial ratios compared to industry wait 48 hours before renewing the block better the rating average: 37.9 a! Net income ( loss ) attributable to common stockholders Tesla Inc. is therefore way below its valuation average the.

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