Comparative Analysis Tesla, inc.

Liquidity Ratios
Leverage
Activity
Profitability
Strengths and Weaknesses

Weaknesses:

1- It has not been profitable for seven years.

2- Its cars are expensive.

3- Operates in only one market: the U.S.

Strengths:

1- CEO: Elon Musk.

2- Leader in its market and one of the most innovative companies.

3- Its mission attracts many supporters.

Implications:

Weaknesses affect the financial statements due to poor financial situation.

Strengths affect future projections because most hope that Tesla will become profitable in the future.

ROA, ROCE, and Leverage

ROAs: -10.98 (Tesla), 3.28 (Ford), 4.94 (GM), and 4.31 (average).

ROCE: Tesla has negative 0.13 and the average is about the same.

Its financial leverage does not look good because of the massive amounts of debt Tesla has. Unless it starts generating money, it will probably will not be able to pay them.

Credits:

Created with images by Blomst - "tesla supercharger battery" • jurvetson - "Tesla Autobots" • TBIT - "dollar bank note money"

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