Should I Buy TSLA Stock in 2026?

Data-driven analysis and honest assessment for Tesla Inc

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $448.96P/E: 182.8

Decision Score

4.1/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)2/10

Very high P/E of 182.8 suggests overvaluation

Growth (20%)1/10

Severe decline of -26%

Profitability (20%)6/10

Decent margins (7% net)

Financial Health (15%)8/10

D/E: 0.66, Current Ratio: 2.02

Cash Flow (15%)4/10

Low FCF yield of 0.3%

Insider Activity (10%)5/10

Balanced insider activity

Key Investment Metrics

Current Price

$448.96

P/E Ratio

182.82

Revenue Growth

0.9%

Profit Margin

7.3%

Market Cap

$1448.1B

Dividend Yield

None

How TSLA Compares to Competitors

Understanding how TSLA stacks up against peers helps inform your investment decision.

How TSLA Compares to Peers

Upcoming Events for TSLA

+5 Reasons TO Buy TSLA

1. Strong liquidity (Current Ratio: 2.02)

strong

Current ratio above 1.5 indicates the company can easily meet short-term obligations.

2. Large-cap stability and market leadership

moderate

With market cap over $100B, this company has established leadership and resources to weather cycles.

-5 Reasons NOT to Buy TSLA

1. Expensive valuation at 183x earnings

high risk

P/E of 183 is significantly above averages. High expectations leave little room for disappointment.

2. Low gross margins of 18%

medium risk

Margins below 30% indicate commodity-like pricing and input cost vulnerability.

3. Minimal revenue growth

low risk

Growth of 0.9% barely keeps pace with inflation.

4. Low free cash flow yield of 0.3%

low risk

Limited cash generation means most value comes from future growth expectations.

Who Should Buy TSLA?

Investment Profile

Risk Level

High

Recommended Holding Period

3-5 years

Best For:

  • Momentum Traders

    High-growth profile attracts momentum

Not Suitable For:

  • Growth Investors

    Limited 1% growth may disappoint

  • Value Investors

    Premium P/E of 183 doesn't fit value criteria

  • Income-Focused Retirees

    No dividend paid

  • Risk-Averse Investors

    High risk may cause uncomfortable volatility

Consider These Alternatives

If you're interested in TSLA, compare these Consumer Discretionary peers:

Pro tip: Compare TSLA directly with competitors using our comparison tool to see which stock better fits your criteria.

Wall Street Expectations

Analyst estimates for TSLA provide insight into market expectations:

annual

EPS: $N/A

annual

EPS: $N/A

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for TSLA

Frequently Asked Questions

What is TSLA stock price today?

TSLA (Tesla Inc) stock is trading at $448.96 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is TSLA stock going up or down today?

TSLA stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy TSLA stock now?

The decision to buy TSLA depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is TSLA a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for TSLA based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is TSLA stock overvalued or undervalued?

TSLA currently trades at a P/E ratio of 182.82, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if TSLA is fairly priced.

What is TSLA's P/E ratio?

TSLA has a price-to-earnings (P/E) ratio of 182.82, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is TSLA's market cap?

TSLA (Tesla Inc) has a market capitalization of $1448.10 billion, making it a large-cap stock.

What is TSLA's price to book ratio?

TSLA trades at a price-to-book (P/B) ratio of 17.78, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.