why is tesla stock so high compared to other companies

F data by YCharts. The real plus for Tesla is that the stock is so very overvalued that if Tesla needs money to keep going they can issue stock at prices so overvalued it is like selling ice cubes to Eskimos.

Tesla Vs Nio Which Ev Stock Is The Better Buy Seeking Alpha

As of November 29 2021 Tesla had a market cap of 11 trillion compared to Fords 78 billion and GMs 86 billion.

. Teslas stock continued to skyrocket after they announced that it had beaten delivery estimates growing Teslas market valuation to 224 plus billion. Musks master plan was to power electric vehicles among other things by using what he called the giant fusion reactor in the sky the. Elon Musks company has generated outsized optimism for the Tesla and its unique platform.

Now download the latest annual 10k report from the SEC of Tesla and then juxtapose that report. Chart shows Fords share price from Oct. Ad No Hidden Fees or Minimum Trade Requirements.

Pretend that it no longer exist. It appears Tesla in the markets view has gone far past the point of comparison vs. Competition from EV manufacturers.

Several other carmakers are now active in the EV space. Using PE ratio Tesla is dramatically more expensive than other car makers like GM and Ford. Of course with any stock price you run into the issue of irrational exuberance.

Ad These 5 companies are set for historic price action. Why did Fords stock do so well earlier in the decade -- and why has it slipped since. No 20 answers Top answer.

Teslas market capitalization has increased by more than 500 billion in 2020 and the company is now worth about as much as that of the nine largest car companies globally. Overall while growth is expected to remain strong we still think Tesla stock is expensive. It is a minor albeit sexy manufacturer of electric vehicles.

Answer 1 of 23. Turn off the stock market. Ad No Hidden Fees or Minimum Trade Requirements.

1 2012 through Oct. Tesla has a strong advantage over competing EV manufacturers because they have already built their own products and services. Traditional auto companies Morgan Stanley analyst Adam Jonas said in a note to investors.

Teslas Elon Musk owns just over 13 of. While the rest of the economy spends 2020 recovering or at least trying from the global covid-19 shutdowns Tesla Inc bounced back to triple its pre-2020. The PE ratio is calculated as a stocks current share price divided by earnings per share in the last twelve months.

Tesla isnt the only EV player in town. Teslas PE Ratio Almost Halved in a Year. Open an Account Now.

A high PE ratio. And somehow it is the worlds. Just turn it off.

In this article. Open an Account Now. A higher PE ratio makes sense for Tesla because it has vastly more depreciable assets than NVIDIA but even going by the EV-to-EBITDA ratio which strips out depreciation.

There is nothing fundamental from a financial perspective to justify Teslas stock price. Ad 1000 Strong Buy Stocks that Double the SP. Now is the time to move.

Why Is Tesla Stock So High. Ad Zacks new free special report details companies with growth potential rivaling Teslas. Tesla trades for more than 1000 times historic earnings and 161 times.

Tesla acquired the company in 2016. When you sign up youll reveal the names and ticker symbols of these 5 companies. Cruise Tesla Tesla autopilot Tesla Full Self-Driving Tesla market cap Tesla stock Waymo Written By Zachary Shahan Zach is tryin to help society help itself.

The reason Tesla is trading so high is because of projected earning in the future and the belief that the company will continue to grow and innovate. Our free report highlights Zacks top stock picks. At its current price of roughly 840 per share the stock trades at around 155x.

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