As part of a new series, each week we typically conduct a DCF on one of the companies in our screens. This week we thought we’d take a look at one of the stocks that is not currently in our screens, Tesla Inc (TSLA).
Profile
Tesla is a vertically integrated battery electric vehicle automaker and developer of autonomous driving software. The company has multiple vehicles in its fleet, which include luxury and midsize sedans, crossover SUVs, a light truck, and a semi-truck. Tesla also plans to begin selling more affordable vehicles, and a sports car. Global deliveries in 2023 were a little over 1.8 million vehicles. The company also sells batteries for stationary storage for residential and commercial properties including utilities and solar panels and solar roofs for energy generation. Tesla also owns a fast-charging network.
Recent Performance
Over the past twelve months the share price is down 9.66%.
Source: Google Finance
Inputs
- Discount Rate: 14%
- Terminal Growth Rate: 3.5%
- WACC: 14%
Forecasted Free Cash Flows (FCFs)
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